Keep Us Strong WikiLeaks logo

Currently released so far... 97115 / 251,287

Articles

Browse latest releases

Browse by creation date

Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z

Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
ETRD EAGR ETTC EAID ECON EFIN ECIN EINV ELAB EAIR ENRG EPET EWWT ECPS EIND EMIN ELTN EC ETMIN EUC EZ ET ELECTIONS ENVR EU EUN EG EINT ER ECONOMICS ES EMS ENIV EEB EN ECE ECOSOC EK ENVIRONMENT EFIS EI EWT ENGRD ECPSN EXIM EIAD ERIN ECPC EDEV ENGY ECTRD EPA ESTH ECCT EINVECON ENGR ERTD EUR EAP EWWC ELTD EL EXIMOPIC EXTERNAL ETRDEC ESCAP ECO EGAD ELNT ECONOMIC ENV ETRN EIAR EUMEM ENRGPARMOTRASENVKGHGPGOVECONTSPLEAID EREL ECOM ECONETRDEAGRJA ETCC ETRG ECONOMY EMED ETR ENERG EITC EFINOECD EURM EENG ERA EXPORT ENRD ECONEINVETRDEFINELABETRDKTDBPGOVOPIC EGEN EBRD EVIN ETRAD ECOWAS EFTA ECONETRDBESPAR EGOVSY EPIN EID ECONENRG EDRC ESENV ETT EB ENER ELTNSNAR ECHEVARRIA ETRC EPIT EDUC ESA EFI ENRGY ESCI EE EAIDXMXAXBXFFR EETC ECIP EIAID EIVN EBEXP ESTN EING EGOV ETRA EPETEIND ELAN ETRDGK EAIDRW ETRDEINVECINPGOVCS EPEC ENVI ELN EAG EPCS EPRT EPTED ETRB EUM EAIDS EFIC EFINECONEAIDUNGAGM EAIDAR ESF EIDN ELAM EDU EV EAIDAF ECN EDA EXBS EINTECPS ENRGTRGYETRDBEXPBTIOSZ EPREL EAC EINVEFIN ETA EAGER EINDIR ECA ECLAC ELAP EITI EUCOM ECONEFINETRDPGOVEAGRPTERKTFNKCRMEAID EARG ELDIN EINVKSCA ENNP EFINECONCS EFINTS ECCP ETC EAIRASECCASCID EINN ETRP EAIDNI EFQ ECOQKPKO EGPHUM EBUD ECONEINVEFINPGOVIZ ENERGY ELB EINDETRD EMI ECONEFIN EIB EURN ETRDEINVTINTCS EIN EFIM ETIO ELAINE EMN EATO EWTR EIPR EINVETC ETTD ETDR EIQ ECONCS EPPD ENRGIZ EISL ESPINOSA ELEC EAIG ESLCO EUREM ENTG ERD EINVECONSENVCSJA EEPET EUNCH ECINECONCS ETRO ETRDECONWTOCS ECUN EFND EPECO EAIRECONRP ERGR ETRDPGOV ECPN ENRGMO EPWR EET EAIS EAGRE EDUARDO EAGRRP EAIDPHUMPRELUG EICN ECONQH EVN EGHG ELBR EINF EAIDHO EENV ETEX ERNG ED
KMDR KPAO KPKO KJUS KCRM KGHG KFRD KWMN KDEM KTFN KHIV KGIC KIDE KSCA KNNP KHUM KIPR KSUM KISL KIRF KCOR KRCM KPAL KWBG KN KS KOMC KSEP KFLU KPWR KTIA KSEO KMPI KHLS KICC KSTH KMCA KVPR KPRM KE KU KZ KFLO KSAF KTIP KTEX KBCT KOCI KOLY KOR KAWC KACT KUNR KTDB KSTC KLIG KSKN KNN KCFE KCIP KGHA KHDP KPOW KUNC KDRL KV KPREL KCRS KPOL KRVC KRIM KGIT KWIR KT KIRC KOMO KRFD KUWAIT KG KFIN KSCI KTFIN KFTN KGOV KPRV KSAC KGIV KCRIM KPIR KSOC KBIO KW KGLB KMWN KPO KFSC KSEAO KSTCPL KSI KPRP KREC KFPC KUNH KCSA KMRS KNDP KR KICCPUR KPPAO KCSY KTBT KCIS KNEP KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KNNB KGCC KINR KPOP KMFO KENV KNAR KVIR KDRG KDMR KFCE KNAO KDEN KGCN KICA KIMMITT KMCC KLFU KMSG KSEC KUM KCUL KMNP KSMT KCOM KOMCSG KSPR KPMI KRAD KIND KCRP KAUST KWAWC KTER KCHG KRDP KPAS KITA KTSC KPAOPREL KWGB KIRP KJUST KMIG KLAB KTFR KSEI KSTT KAPO KSTS KLSO KWNN KPOA KHSA KNPP KPAONZ KBTS KWWW KY KJRE KPAOKMDRKE KCRCM KSCS KWMNCI KESO KWUN KPLS KIIP KEDEM KPAOY KRIF KGICKS KREF KTRD KFRDSOCIRO KTAO KJU KWMNPHUMPRELKPAOZW KEN KO KNEI KEMR KKIV KEAI KWAC KRCIM KWCI KFIU KWIC KCORR KOMS KNNO KPAI KBWG KTTB KTBD KTIALG KILS KFEM KTDM KESS KNUC KPA KOMCCO KCEM KRCS KWBGSY KNPPIS KNNPMNUC KWN KERG KLTN KALM KCCP KSUMPHUM KREL KGH KLIP KTLA KAWK KWMM KVRP KVRC KAID KSLG KDEMK KX KIF KNPR KCFC KFTFN KTFM KPDD KCERS KMOC KDEMAF KMEPI KEMS KDRM KEPREL KBTR KEDU KNP KIRL KNNR KMPT KISLPINR KTPN KA KJUSTH KPIN KDEV KTDD KAKA KFRP KWNM KTSD KINL KJUSKUNR KWWMN KECF KWBC KPRO KVBL KOM KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KEDM KFLD KLPM KRGY KNNF KICR KIFR KM KWMNCS KAWS KLAP KPAK KDDG KCGC KID KNSD KMPF KPFO KDP KCMR KRMS KNPT KNNNP KTIAPARM KDTB KNUP KPGOV KNAP KNNC KUK KSRE KREISLER KIVP KQ KTIAEUN KPALAOIS KRM KISLAO KWM KFLOA
PHUM PINR PTER PGOV PREL PREF PL PM PHSA PE PARM PINS PK PUNE PO PALESTINIAN PU PBTS PROP PTBS POL POLI PA PGOVZI POLMIL POLITICAL PARTIES POLM PD POLITICS POLICY PAS PMIL PINT PNAT PV PKO PPOL PERSONS PING PBIO PH PETR PARMS PRES PCON PETERS PRELBR PT PLAB PP PAK PDEM PKPA PSOCI PF PLO PTERM PJUS PSOE PELOSI PROPERTY PGOVPREL PARP PRL PNIR PHUMKPAL PG PREZ PGIC PBOV PAO PKK PROV PHSAK PHUMPREL PROTECTION PGOVBL PSI PRELPK PGOVENRG PUM PRELKPKO PATTY PSOC PRIVATIZATION PRELSP PGOVEAIDUKNOSWGMHUCANLLHFRSPITNZ PMIG PREC PAIGH PROG PSHA PARK PETER POG PHUS PPREL PS PTERPREL PRELPGOV POV PKPO PGOVECON POUS PGOVPRELPHUMPREFSMIGELABEAIDKCRMKWMN PWBG PMAR PREM PAR PNR PRELPGOVEAIDECONEINVBEXPSCULOIIPBTIO PARMIR PGOVGM PHUH PARTM PN PRE PTE PY POLUN PPEL PDOV PGOVSOCI PIRF PGOVPM PBST PRELEVU PGOR PBTSRU PRM PRELKPAOIZ PGVO PERL PGOC PAGR PMIN PHUMR PVIP PPD PGV PRAM PINL PKPAL PTERE PGOF PINO PHAS PODC PRHUM PHUMA PREO PPA PEPFAR PGO PRGOV PAC PRESL PORG PKFK PEPR PRELP PREFA PNG PGOVPHUMKPAO PRELECON PINOCHET PFOR PGOVLO PHUMBA PRELC PREK PHUME PHJM POLINT PGOVPZ PGOVKCRM PGOVE PHALANAGE PARTY PECON PEACE PROCESS PLN PRELSW PAHO PEDRO PRELA PASS PPAO PGPV PNUM PCUL PGGV PSA PGOVSMIGKCRMKWMNPHUMCVISKFRDCA PGIV PRFE POGOV PEL PBT PAMQ PINF PSEPC POSTS PHUMPGOV PVOV PHSAPREL PROLIFERATION PENA PRELTBIOBA PIN PRELL PGOVPTER PHAM PHYTRP PTEL PTERPGOV PHARM PROTESTS PRELAF PKBL PRELKPAO PKNP PARMP PHUML PFOV PERM PUOS PRELGOV PHUMPTER PARAGRAPH PERURENA PBTSEWWT PCI PETROL PINSO PINSCE PQL PEREZ PBS

Browse by classification

Community resources

courage is contagious

Viewing cable 04HANOI719, RECENT DEVELOPMENTS IN VIETNAM'S STOCK MARKET

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs

Understanding cables
Every cable message consists of three parts:
  • The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
  • The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
  • The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
To understand the justification used for the classification of each cable, please use this WikiSource article as reference.

Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #04HANOI719.
Reference ID Created Released Classification Origin
04HANOI719 2004-03-10 10:20 2011-08-25 00:00 UNCLASSIFIED Embassy Hanoi
This record is a partial extract of the original cable. The full text of the original cable is not available.
UNCLAS SECTION 01 OF 02 HANOI 000719 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ECON EFIN ETRD VM FINREF
SUBJECT:  RECENT DEVELOPMENTS IN VIETNAM'S STOCK MARKET 
 
1.  (U) Summary.  Econ Counselor met with State Securities 
Commission (SSC) Vice Chairman who spelled out his vision 
for expanding Vietnam's capital markets.  The Vice Chairman 
confirmed the Prime Minister's recent decision to place the 
SSC directly under Ministry of Finance authority.  DPM Vu 
Khoan has been pushing for more listings on the local stock 
markets.  The SSC and its young staff are working to prepare 
for a more active financial market.  End Summary. 
 
2.  (U) February 25, Econ Counselor called on State 
Securities Commission (SSC) Vice Chairman, Nguyen Doan Hung 
and discussed the role of SSC in regulating Vietnam's 
capital markets.  Prior to assuming his current position, 
Hung previously worked at the World Bank in Washington from 
1999 to 2002 as an Alternate Executive Director.  Hung 
served as the Director of the Foreign Exchange Department 
from 1996-1999 and as an Administrator from 1993-1996, both 
at State Bank of Vietnam. 
 
3.  (U) The SSC's 350 person staff regulates the securities 
industry and the Ho Chi Minh City-based Securities Trading 
Center (STC), which was established in July 2000.  Many of 
the SSC's staff are recent college graduates who have 
received training from Thai, Korean, and Taiwanese Stock 
Exchange experts, including short-term training and study 
tours.  According to Hung, the stock market's total 
capitalization currently is about 1,100 billion VND (approx. 
$70 million USD) with 22 listed firms.  The composition of 
22 traded companies on the STC is as follows:  1 company is 
joint stock company and 21 companies are former-state owned 
enterprises (SOEs) that have been equitized.  The state 
ownership in those companies now is between 20 and 30% on 
average.  In most cases, the state still retains part 
ownership of the traded companies.  The STC also trades 
bonds, all but one of which are government-issued.  The bond 
market is valued at approximately 10,000 billion VND 
(approx. US$640M). 
 
4.  (U) Hung stated that the State Securities Commission, 
which currently reports directly to the Prime Minister, 
would move under the authority of the Ministry of Finance in 
the near term, thus losing its status as an independent 
regulator.  The Prime Minister had approved this shift 
earlier in the week.  According to Hung, the justification 
for this move was to push the Ministry of Finance to cause 
more SOEs to privatize or equitize.  Moreover, the Prime 
Minister has assigned the Minister of Finance to work with 
the Ministry of Planning and Investment to encourage large 
companies, including SOE monopolies, to privatize, and 
foreign invested companies to list, on the STC.  Hung also 
said that the GVN might seek to list Vietnam Airlines in the 
future.  Hung attributed the current dearth of STC listings 
to higher standards of corporate governance and 
international standards of accounting disclosures required 
for listing. 
 
5.  (U) The STC is open for business daily with morning and 
afternoon sessions, and utilizes software developed in 
Chicago and provided by the Thai Stock Exchange, according 
to Hung.  All brokerage firms currently operating in Vietnam 
are 100% domestic-owned companies or joint stock companies 
with limited foreign participation.  Banks are not permitted 
to invest directly in the capital market unless they 
establish subsidiary brokerage firms.  According to Hung, 
there have been no instances to date of impropriety or 
insider trading on the STC. 
 
6.  (U) Hung noted that the GVN, especially Deputy Prime 
Minister Vu Khoan, is pushing to increase the number of 
listings on the STC and is developing strategies for 
encouraging major efirms in key industries, such as banking, 
petroleum, and telecommunications, to list.  (Note: 
According to press reports, the Prime Minister met with the 
State Securities Commission (SSC) in the middle of February 
with the PM noting the need to ease the burden on banks 
supplying long-term capital to the economy. End Note.) 
 
7.  (U) According to Hung, so far, most investors on the STC 
are individual investors, with a small minority of 
institutional investors, venture capitalists, and insurance 
companies.  (Note: According to a recent Asian Development 
Bank report, individual investors number 15,000 of the STC's 
participants, whereas a mere 130 institutional investors are 
active. The report notes that over 100,000 shares trade 
daily on 1,500 executed orders.  End note.) 
 
8.  (U) Hung added that the GVN's long-term ten year plan 
includes the opening of a Hanoi Trading Center by the end of 
2004, followed thereafter by an over-the-counter (OTC) 
exchange to handle small and medium-sized enterprise 
listings.  As capital markets expand in Vietnam, Hung 
recognizes that greater demands for training, capacity- 
building, and technical expertise transfer will also arise. 
 
9.  (U) Hung described how Vietnamese savers are slowly 
shifting from investment vehicles such as metals, jewelry, 
land, and foreign exchange into stocks, bonds, and savings 
accounts.  Hung attributed the transformation to the low, 
inflation rates of the last ten years.  Hung also noted that 
he believes that Vietnamese real estate is near a valuation 
peak, which he called a "bubble," and that this may 
consequently drive increased shifts into equity and debt 
investments.  Hung believes that targeted tax policy 
planning, especially on capital gains, may assist with 
stemming real estate speculation since there is currently no 
capital gains tax on capital market investments. 
 
10.  (U) Comment:  While the GVN's recognition of the need 
for further privatization is encouraging, the decision to 
eliminate the independence of the SSC by placing it under 
the rather conservative Ministry of Finance is not.  End 
Comment. 
BURGHARDT