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» Business Confidence Index increased 3 points in Quarter III, 2010

Hanoi, 12th October 2010. Today, Vietnam WVB Financial Intelligence Services (WVB Vietnam) with PetroVietnam Finance Investment and Consultancy Company (PVFC Invest) jointly announced the WVB-PVFC Invest Business Confidence Index (BCI) for Quarter III, 2010.

This survey is jointly conducted quarterly by the two companies WVB Vietnam and PVFC Invest. The survey participants are the country’s leading enterprises regarding branding, total assets, total revenue, and number of employees across various industries in Vietnam. This survey extended from 15th September 2010 to the first week in October 2010 attracted the participation of 262 companies across 11 primary sectors and industries of Vietnam. Over 70% of survey participants selected also is Small and Medium Enterprises (SMEs) as representatives of Vietnamese SMEs.

According to this survey results, the business confidence index (BCI) in the Second Quarter of 2010 represents a 4 point increase over the Second Quarter of 2010, which also demonstrates a 37 point rise compared to the first index score in the Third Quarter of 2008.

The index in this Quarter of 2010 increased 4 points as compared with the last quarter (Second Quarter of 2010) partly reflecting the improvement from business confidence of business owners in three quarters of this year.

Here are some key results for the 06 subcomponents of the WVB-PVFC Business Confidence Index in Quarter III of 2010:

• Current economic conditions: 70.23% think the overall economic conditions have improved compared to one year ago and only 4.20% said that current economy conditions have become weak.

• Economic outlook: 84.35% expect the overall economic conditions will be better over the next twelve months and 0% is worried about a dismal economy over the upcoming year.

• Expected change in employment: Up to 59.16% of business expected to increase the total number of employees. Only 3.05% think they will cut the workforce in their companies but 37.79% think their company employees will remain the same over the next twelve months.

• Planned fix investment: 59.16 % think they will continue to invest more, 34.35% think they will keep the same investment in fixed assets over the next 12 months and 6.49% think they will reduce investment in fixed assets over next 12 months.

• Expected revenue growth: 74.05% are confident their company’s sales revenues will increase over the next 12 months, 24.05% think their company’s sales will keep the same and only 1.91% of enterprises are worried about the decline of their revenues in 12 months.

• Expected profit growth: 72.52% of businesses believe their profits will increase in coming years. 23.66% of enterprises say that their profits will remain and 3.82% of enterprises are worried about the decline of their profits in 12 months.

The team survey WVB Vietnam and PVFC Invest also investigate the opinions of the enterprises on the significant issues their companies are facing in Vietnam such as impacts of domestic credit market and the major factors create changes in business confidence for business owners. The majority of enterprises think the factors that influence essentially to their business confidence in the Quarter III of 2010 is the fluctuations of exchange, prices of input materials, and especially Consumer Price Index .

The team survey WVB Vietnam and PVFC Invest also investigate the trend of foreign investors into the domestic economy, the result: 19.14% believe that foreign investors will invest in the Information Technology Sector; 5.39% believe that it will be the Textile, Leather and Footwear Industry; 1.89% of businesses believe that the Pharmacy Sector; 15.90% of businesses believe that the Mining Industry; 31.27% of businesses believe that Real_Estate Sector, 12.40% of businesses believe that the Tourism Industry; 14.02% of businesses believe that is the Processing Industry and 21. 56% of businesses believe that it is Consumer Products Manufacturing.

Survey Result
WVB-PVFCI Business Confidence Index Score - QII/2010:      137
WVB-PVFCI Business Confidence Index Score - QII/2010:      134
WVB-PVFCI Business Confidence Index Score - QI/2010:        138
WVB-PVFCI Business Confidence Index Score - QIV/2009:     135
WVB-PVFCI Business Confidence Index Score - QIII/2009:     136
WVB-PVFCI Business Confidence Index Score - QII/2009:       130
WVB-PVFCI Business Confidence Index Score - QI/2009:           99
WVB-PVFCI Business Confidence Index Score - QIV/2008:        93
WVB-PVFCI Business Confidence Index Score - QII/2008:       100

Respondent breakdown by Sector/Industry         

Respondent breakdown by ownership    

About World Vest Base:
Established in 1985 in Chicago, USA, World'Vest Base (WVB) has becomes the world’s leading global provider of financial fundamentals serving the research and analytic needs of thousands of top companies in the financial services, media and corporate markets. The WVB global database is the financial industry’s premier source of detailed and transparent financial statement data on public companies. The database universe spans over 50,000 public companies over 130 countries from Asia, Africa, Australia, Europe, Latin America and North America. WVB Regional databases also cover hundreds of thousands of private companies in Thailand, Vietnam, Laos, Cambodia, Malaysia and Egypt. WVB also provides databases with Insider & Major Shareholders Transactions, specialized End-of-Day pricing for emerging markets and worldwide credit risk and business risk scoring.
Further information can be reached at the company’s official website: http://www.wvb.com

About PVFC Invest
PetroVietnam Finance Investment and Consultancy Company (PVFC Invest) is the subsidiary of PetroVietnam Finance Company (PVFC). Our main investment priority fields are oil and gas industry, energy, high-end tourism, real – estate, manufacturing... Besides, PVFC Invest’s professional consulting services includes: financial advisory, investment advisory, merge and acquisition. PVFC Invest is proud of 100 employees who obtain in-depth experience, full-understanding about financial market and management from working for domestic and international financial organizations or graduated from privilege universities in Viet Nam and abroad. At present, The Company has more than 500 customers spreading all over the country.
For further information, please visit website: http://www.pvfcinvest.vn

For media enquiries:                                            For media enquiries:
Ms. Dao Phuong Thao                                           Ms. Nguyen Thuy Dung
WVB FISL                                                           PVFC Invest
                                                
   
+84 (4) 3 762 4811                                               + 84 (4) 3972 6126