Vietnam may relax foreign corporate ownership rules
Sunday, 1 March 2009
HANOI, Feb 28 (Reuters): Vietnam could raise the ceiling of foreign ownership in its banks to 35 per cent from 30 per cent and expand the foreign ownership in unlisted companies to 49 per cent as it seeks to beef up falling foreign investment.
The steps were among policies the State Securities Commission , the stock market watchdog, expected to adopt this year "to intercept future opportunities", the Vietnam Economic Times newspaper reported Saturday.
The SSC would seek government approval to amend a directive so that foreign investors can own 49 per cent of a domestic company regardless if it is listed on the stock market or not, a rate now applied only for listed companies.
Foreign investors now can own a maximum 30 per cent of a domestic company or bank.
The SSC also proposed that a domestic bank selling a stake of less than 5 per cent in itself to a foreign bank would no longer need central bank approval, the Vietnam Economic Times said, citing SSC's action plan for 2009.
The steps were among policies the State Securities Commission , the stock market watchdog, expected to adopt this year "to intercept future opportunities", the Vietnam Economic Times newspaper reported Saturday.
The SSC would seek government approval to amend a directive so that foreign investors can own 49 per cent of a domestic company regardless if it is listed on the stock market or not, a rate now applied only for listed companies.
Foreign investors now can own a maximum 30 per cent of a domestic company or bank.
The SSC also proposed that a domestic bank selling a stake of less than 5 per cent in itself to a foreign bank would no longer need central bank approval, the Vietnam Economic Times said, citing SSC's action plan for 2009.