[Vnbiz] EIU Vietnam Country Risk Summary

[Craig Stevenson]

Vietnam: Country risk summary
   September 12th 2006 |
Archive<http://www.viewswire.com.ezproxy.umuc.edu/index.asp?layout=VWCategoryVW3&region_id=420000442&channel_id=190004019&country_id=1010000301&category_id=290004029>
 Printer version<http://www.viewswire.com.ezproxy.umuc.edu/index.asp?layout=VWPrintVW3&article_id=201102405&printer=printer>

   COUNTRY VIEW

FROM THE ECONOMIST INTELLIGENCE UNIT

  Vietnam: risk assessment   Sovereign risk Currency risk Banking sector
risk Political risk Economic structure risk September 2006 B BB B B CCC

Download the numbers in
Excel<http://www.viewswire.com.ezproxy.umuc.edu/report_dl.asp?mode=fi&fi=CS_CSVN_UPDATER_20060901T000000_0001_CSV.CSV>

Sovereign risk

Stable: There are no serious concerns about Vietnam's commitment to meeting
its future external debt obligations, particularly as much of its external
debt has been lent on a concessional basis.

Currency risk

Stable: There is unlikely to be a marked change in the government's tight
management of the exchange rate. The real effective exchange rate will
continue to appreciate in 2006 as inflation slows, but this trend will be
reversed in 2007.

Banking sector risk

Stable: Banking sector assets are of relatively poor quality, and there are
mounting concerns about the health of banks' balance sheets as domestic
credit continues to expand rapidly.


Political risk

Despite the stable political environment, Vietnam suffers from major
problems, notably corruption and a lack of transparency and accountability.
However, the government is keen to maintain the country's strong ties with
international donors.

Economic structure risk

Despite strong economic growth, the country's external position is generally
weak, and there are concerns about long-term export competitiveness.

The Country Risk Service (CRS) provides sovereign credit risk analysis for
100 developing and highly indebted countries. CRS is distinct from our Risk
Briefing service, which analyses a broader spectrum of risks relating to the
operating environment.
-------------- next part --------------
An HTML attachment was scrubbed...
URL: http://mail.saigon.com/pipermail/vnbiz/attachments/20061003/7d459a6f/attachment-0001.html