Vietnam Roundup: $11 billion World Bank loan, coffee prices, export gains
$11 billion World Bank loan
Vietnam's Prime Minister has engaged in discussions with representatives from the World Bank regarding the bank's proposed $11 billion loan for Vietnam over the next five years. According to Viet Nam News, the loan is earmarked for infrastructure, energy, and agriculture projects aimed at fostering sustainable growth and tackling climate change issues. The World Bank has pledged to collaborate closely with Vietnam to ensure the effective functioning of its regional office and to assist Vietnam in achieving its development objectives for 2030 and 2050.
Coffee prices turnover
Coffee prices have settled higher due to concerns about the coffee crop in Brazil and Vietnam. This has led to an increase in options trading signals and unusual options activity. According to Barchart, a negative influence on the coffee market was the International Coffee Association's (ICO) report on Monday, revealing a 6.8% year-on-year increase in global coffee exports for February, reaching 11.33 million bags. Additionally, total global coffee exports for the period from October to February of the 2023/24 season surged by 11.1% year-on-year to reach 56.2 million bags.
Rice export gains
Vietnam's rice prices rose last week, putting the country at the top for export prices. The 5% broken rice is priced at $585 per ton, higher than Thailand and Pakistan. Vietnam earned $2.08 billion from exporting 3.23 million tons of rice in the first four months of the year. The country's rice output is expected to reach 43 million tons in 2024, reports the Sun.
Pepper price increment
Vietnamese pepper prices have been steadily increasing, reaching levels of $4.68-$4.71 per kilo. The Vietnam Pepper and Spice Association predicts that prices could hit new peaks of $13.75-$15.72 per kilo in the next decade. The market is not ready to cool down, with shortages and high demand pushing up prices. As reported by Viet Nam News, the International Pepper Community (IPC) also showed big fluctuations in trading sessions.
$136 million investment abroad
Vietnamese enterprises invested $136 million in new and existing projects abroad in the first five months of the year, with a focus on mining, manufacturing, and trading. The Netherlands and Laos were the top recipients of Vietnamese investment. As of May 20, Vietnam had 1,733 operational projects abroad, with the majority of investments in the mining and agro-forestry-fishery sectors. Laos, Cambodia, and Venezuela were the top recipients of Vietnamese investment, Viet Nam News reports.
