Annan delays UN Council vote on Syria sanctions

International envoy Kofi Annan on Wednesday pleaded with the UN Security Council to take "decisive" action on the Syria conflict after persuading the divided major powers to postpone a vote on a sanctions resolution. International envoy Kofi Annan on Wednesday pleaded with the UN Security Council to take "decisive" action on the Syria conflict after persuading the divided major powers to postpone a vote on a sanctions resolution. Annan intervened a few hours before the scheduled vote on the western-backed resolution which Russia has vowed to veto. But with no new diplomatic proposals emerging, a new vote was called for Thursday. The UN-Arab League envoy spoke to key governments and "urged members of the Security Council to unite and take concerted and strong action that would help stem the bloodshed in Syria and build momentum for a political transition," said Annan's spokesman Ahmad Fawzi. Annan believes the latest violence "only underscores the urgency of decisive council action." A Damascus bomb attack on Wednesday killed at least three members of President Bashar al-Assad's inner circle. The appeal by Annan and the Damascus attack however did little to ease tensions on the 15-member Security Council. Russia maintained a threat to veto any resolution under Chapter VII of the UN Charter, which allows for the toughest action. Russia's President Vladimir Putin and US President Barack Obama spoke by telephone but a Kremlin spokesman Dmitry Peskov told Russian news agencies that "differences in approaches remain" over the Syria conflict. While acknowledging the differences, the White House said the two leaders had agreed to "continue to work towards a solution." The British resolution, backed by the United States, France, Germany and Portugal, calls for non-military sanctions to be ordered against Assad if he does not withdraw heavy weapons from Syrian cities. "We will be voting tomorrow morning," said Britain's UN Ambassador Mark Lyall Grant. The western envoys said they had agreed to Annan's request for a delay but there had been no new talks as Russia had made no new proposal. "We cannot accept Chapter VII and the section about sanctions," Russia's Foreign Minister Sergei Lavrov said in Moscow on Wednesday. Russia and China, using their powers as permanent council members, have twice vetoed previous resolutions hinting at sanctions against Damascus. "We have very clearly said to our Russian and Chinese friends, we are ready to negotiate," said France's UN Ambassador Gerard Araud. "The framework is well-defined. It is a Chapter VII resolution with a threat of sanctions. We consider the situation is serious enough in Damascus and in Syria that we move towards this goal," he told reporters. "We want to give diplomacy a chance but there has to be meaningful engagement on the side of Russia and China with our resolution," Germany's UN envoy Peter Wittig told reporters. "We just don't want business as usual. We want a strong signal with that resolution and the events in Damascus today of course dramatically highlight the need for the council to act at long last," Wittig added. "Syria is sliding into chaos," said the German envoy. The mandate of the UN Supervision Mission in Syria (UNSMIS) ends on Friday and without a resolution, the UN may have to hurriedly withdraw the nearly 300 unarmed observers now in Damascus. More than 17,000 people have been killed since an uprising against Assad began 16 months ago, activists say. Tourist Vietnam
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Artists swim in the pools of TV game shows

Vietnamese artists are becoming busier than ever thanks to a boom in TV films, game shows and reality shows. Minh Hang became more famous after taking part in Dancing with the Stars Comedian Hoang Map said that he was taking part in several reality and game shows, a TV film project and numerous other shows. "There are months when I take part in so many shows that I rarely see my family," Hoang said. Thuy Diem used to be a model, but now she just appears in TV films. She said, "Most of my time is spent in film studios. I don't even have enough time to spend the money I earn." Young artists now seem to believe that if they feature in as many films, game shows, and reality shows as possible, then they will become more and more famous. Film and TV game show producers often invite young models, singers, and actors to join in their shows to attract more TV viewers. These young artists want to become household names, so they accept the invitations. That's the vicious circle both producers and young artists are running in. Consequently, many young artists become well-known not because of their voice or their roles in a film, but due to the fact that they appear on TV so often, and audiences become familiar with their faces. Due to their busy timetables, they are unable to put enough time into studying their characters, and may work on several different films in the same day. As a result, their work is below par and domestic viewers are losing faith in the Vietnamese film industry. One director said, "The salaries for actors and actresses aren't very high, so we have to accept that they will work on other film projects and TV shows at the same time. We just hope that they read the scripts before they start." An actor's career should be remembered by the characters they play, which can be timeless. If artists run after illusive fame by featuring in many TV shows and film projects, they can earn a lot of money, but never the respect of audiences. Tourist Vietnam
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Hanoi proposes removal of apartment service price cap

The Hanoi People's Committee has asked the Ministry of Construction to issue a price list for apartment service fees to replace the existing regulation on the service price cap. Hanoi proposes removal of apartment service price cap According to the committee, the price list will be a base for apartment investors, managers and people to discuss and decide the application of their own apartment service prices. In September 2011, the municipal People's Committee approved the regulation for apartment service fees. The lowest of VND2,400 (USD0.11) per square metre per month is applied for apartments without elevators, and those with elevators can have the fees ranging from VND3,100 to VND4,000 per square metre. However, due to the diversification of the apartment segment and characteristics of each development, the ceiling price regulation is unrealistic. Besides, taking advantage of the regulation, many apartment managers try to misinterpret it on purpose to impose the highest fees for households. This has been the main cause of disputes in apartment use in the city recently. Last year, hundreds of residents at Hanoi Keangnam Landmark Tower, Vietnam's highest building, demonstrated against new service fees imposed by the management board, which they refused to pay, and were subsequently banned from using the lifts. The development's management board has enforced a service fee of VND18,843 per square metre per month, but the residents claim they were only required to pay VND4,000 per square metre, according to regulations set by the city's People's Committee. Service fee-related disputes have also occurred at other buildings in Hanoi such as The Manor, Golden Westlake, and Sky City. Tourist Vietnam
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State-owned groups trim staff salaries

Many state-owned corporations and groups have cut their staff salaries by 5-30% to meet their commitments to the Ministry of Finance and save operational costs this year. Representatives from Electricity of Vietnam (EVN) and the Vietnam National Coal and Mineral Industries Group (Vinacomin) reported they had been slashing salaries over the past few months. Many state-owned corporations and groups have cut their staff salaries by 5-30% Staff at a number of EVN affiliates have had their salaries cut by over 10%, and those at Northern Power Corporation have had to suffer a 30% wage cut. An official from the Hanoi Power Corporation said their staff's salaries were safe for the time being, but an allowance for some positions had been adjusted. The situation at EVN has partially been caused by affiliate EVN Telecom, that has failed to attract subscribers after starting operations more than seven years ago. EVN Telecom is now in debt to many of its partners, including Viettel and the Vietnam Post and Telecommunications Group (VNPT). "My salary was over VND8 million (USD380.9) per month, but now it has been cut to less than VND6 million (USD285.7). My wife and I have a combined salary of only VND10 million (USD476), so we're struggling with day to day expenses," said an EVN staff member. An EVN official said that the group targets to save VND1.8 trillion (USD85.7 million) in its business and production costs this year, including VND160 billion (USD7.6 million) in salary cuts. The firm targets to save 1% of electricity used for people's daily activities, equal to VND1.3 trillion (USD61.9 million). He, however, declined to comment on the pay cuts. At the Vietnam Oil and Gas Group (PetroVietnam) where the staff salaries are much higher than many other firms, cuts have also been made over the past few months. PetroVietnam Chairman Phung Dinh Thuc confirmed the salary reduction of 5-10% to save costs. However, to retain senior staff, PetroVietnam are still rewarding those it deems to be deserving. Leaders should cut their own salay Economist Pham Chi Lan said it is wrong for the companies to cut staff salaries to save costs. Meanwhile, a Government instruction also clearly stipulates that they are not allowed to do so. "In Vietnam, managers always receive the highest bonuses, but when firms face problems, their salaries aren't cut," she noted. Saving costs is mainly aimed at improving management systems to mitigate waste. The wage cut seems to be widespread, while companies ignore other factors that can also be attributed to high operational costs. She emphasised that corporations and groups needed to calculate what percentage of their operational costs could be attributed to salaries and productivity. She cited several experts as saying that for the same electricity output, Vietnam has to use more labourers than other countries, which shows the country's human resource waste, one cause of EVN's high operational costs. Salary cuts are necessary, but they should start with the management. "The Ministry of Finance has to tighten control of salary cuts to ensure efficiency," Lan said. According to the Ministry of Finance, early May this year, up to 83 groups and corporations and four banks had committed to save total VND13 trillion (USD619 million). Tourist Vietnam
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Building slump bad news for construction materials companies

Due to a slump in real estate market, the construction materials companies have been holding onto very large inventories. Construction materials companies have been holding onto very large inventories Thach Ban JSC, one of the companies that has historically been profitable, is considering cutting back on production. Deputy Director of Thach Ban JSC, Nguyen Trong Kien, said they currently have two months of inventory, demand has decreased by 30% compared to last year, while the input materials prices have increased. The company increased their prices by 4% in April but they had to lower them by 8% in June due to the slump. "We have no choice but to accept the losses. We expect some of the factories will lose as much as VND10 billion (USD478,000)," Kien said. To ensure the company's continued operation, they have been making cutbacks and focusing on advertising. "Even the CEOs, directors are taking part in marketing activities to better understand customers." Viglacera Ha Long has also seen its share of difficulties. In 2011, the company made VND70 billion (USD3.4 million), but in early 2012 they lost VND84 billion (USD4 million). Nguyen Van Sinh, Deputy Director of Viglacera, said they are only at 65% of production capacity but inventory is still high, with six months of inventory for glass and two months of tile. The steel industry also felt the impact. The Pomina Company has 40,000 tonnes of inventory. Do Duy Thai, a representative of Pomina, said the consumption decreased by 20% compared to the same period in 2011. And even with lower interest rates, only some big corporations are able to get loans and others only loans with high interest. According to Vietnam Steel Association, a 20% reduction in inventory is needed to get back to normal levels. The cement industry also has three million tonnes of inventory. Dinh Quang Huy, Chairman of Vietnam Building Ceramic Association, said that enterprises have only been able to sell 70-75% of their products. "The real estate market is in a slump and capital is hard to come by. The construction materials sector is also suffering," he said. Le Van Toi, head of Department of Construction Materials under the Ministry of Construction, said the main reason for the problem is companies' inability to balance their books. Most of their capital comes from loans, so when inflation rises and exchange rates go down these companies take a big hit, he said. Nguyen Tuan Duong, Vice Chairman of Hoa Phat Corporation, said in order to deal with the current situation the company will operate at 70% of its capacity in hopes of lowering inventory in the next 3-6 months. "This year prices will likely either stay where they are or rise slightly, but demand is not expected to increase," Aside from reducing their production, Viet Duc Steel Company will ask customers for immediate payment, or extend credit for only short periods. They are also seeking to expand exports. Tourist Vietnam
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Vietnam’s interest rates go their own way

The State Bank of Vietnam (SBV) policies on interest rates over the past 12 months have led to increased production costs. Deposit rates are limited while lending rates are self determined by commercial banks, says Vu Vinh Phu, Chairman of the Vietnam Supermarket Association. Banks enjoy advantages from current monetary policies With a 3-4 percent ratio between borrowing and lending rates, in theory, banks can earn a profit. However, the ratio has reached 8-10 percent in recent months. As a result, banks are enjoying huge profits, but depositors and businesses are facing many disadvantages. Mr Phu claims that nowhere else in the world has such an interest rate policy, especially in the context of the economic downturn, rising inventories, weak purchasing power and people's poor living conditions. According to Phu, if the deposit rates are limited, the lending rates should be limited, too. Of course, he says, there can be incentives for some prioritized cases. Otherwise, banks can apply floating interest rates so that banking transactions can follow market fluctuations. In addition, policies and information should be publicized, and the State should intervene in controlling the price of goods produced by businesses that are dominating the local market. The State should also take measures to prevent the possible resurgence of inflation in the near future. The Government has asked the SBV to lower interest rates and it should ask the central bank to stabilize those rates at an appropriate level. Dr. Ngo Tri Long, former Deputy Head of the Price and Market Research Institute, says both basic and target should be taken into account to prevent shocks from outside. Lowering interest rates does not mean reducing requirements for loans or lowering credit quality. If the interest rates are not lowered, a cycle of bad debt may appear soon. Dr. Long affirms that the heart of the matter does not lie in reduced interest rates. It will be meaningless if the rates are lowered but businesses still find it hard to access loans. At present, many businesses are suffering from high inventories and the consumer price index (CPI) is falling. Businesses still face difficulties According to SBV statistics as of June 30, new outstanding credit saw a year-on-year increase of 0.76 percent. SBV Governor Nguyen Van Binh says the biggest challenge is dealing with slow economic growth, which results in financial difficulties and decreased credit growth. Leading economist Nguyen Minh Phong says high interest rates prevent businesses from accessing loans. Banks are also hesitant to offer loans to local firms due to their rising bad debt ratio. The annual deposit rates are currently maintained at 9 percent, but the lending rates are out of control. Some businesses say they are enjoying an annual 13-percent, while others claim they are unable to get such a rate. At the moment, banks are dealing with bad debt-related issues so they cannot offer loans for unfeasible projects. In the immediate period, banks should be able to increase their liquidity, thanks to their increasing deposit loans. Dr. Nguyen Thi Lan from the Financial Academy said the current bad debts are causing interest rates to rise and slowing down credit growth. The SBV should complete its projects to purchase bad debts and restructure banks. This means that bad debts which cannot be withdrawn should not be bought, she adds. Tourist Vietnam
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Hopes high as AIDS conference returns to US

A cure for AIDS remains a distant prospect but a host of drug treatments and other advances have fueled fresh hope that new human immunodeficiency virus infections may some day be halted for good. Strategies for ending the 30-year AIDS epidemic through advances in treatment, testing and prevention are high on the agenda of a major meeting of experts in HIV/AIDS when it returns to the United States next week after two decades. "What we know is absolutely possible is that we can end the pandemic even without having a cure," said Anthony Fauci, a leading AIDS expert and director of the National Institute of Allergy and Infectious Diseases. Held every two years, the International AIDS Conference has convened elsewhere around the world but not in the US since 1990, due to a travel ban on HIV-positive individuals. The ban was overturned by US lawmakers under president George W. Bush in 2008 and signed into law by President Barack Obama in 2009. The conference's return to the United States was expected to draw a star-studded crowd of 25,000 -- more than the usual 20,000 -- including celebrities, politicians, AIDS activists and scientists, organizers said. Among the key speakers are singer Elton John, former US president Bill Clinton and philanthropist Bill Gates. Democracy icon Aung San Suu Kyi of Myanmar will address the conference by videolink. A pre-conference bash staged by amfaR, the American Foundation for AIDS Research, on July 21 will feature actors Sean Penn, Sharon Stone and prominent CNN newsman Anderson Cooper, who recently came out publicly as gay. A series of pre-conference talks and announcements will also set the stage for the six-day meeting in the US capital, themed "Turning the Tide Together," which formally starts on July 22. On July 19, French Nobel laureate Francoise Barre-Sinoussi, the co-discoverer of HIV, will announce the release of a new global strategy toward a cure that aims to tackle the reservoirs where HIV holes up after it has been attacked by antiretroviral drugs. "The strategy aims to build a global consensus on the state of research in the HIV reservoirs field and define a roadmap of scientific priorities that must be addressed by future research to tackle HIV persistence in patients on antiretroviral therapy," said a statement by the International AIDS Society. Another key point is the use of antiretroviral drugs as both treatment and prevention, building on a series of studies that have shown promise in giving the drugs to infected people early and even prescribing them to uninfected partners at risk. "We see this as probably being a central conversation at the conference -- the appropriate initiation for treatment and also how to best take advantage of antiretrovirals for prevention more broadly speaking," said the World Health Organization's HIV/AIDS chief Gottfried Hirnschall. The WHO will be releasing new guidelines for using HIV drugs as prevention, a strategy known as pre-exposure prophylaxis that has shown some success but also some failures in recent studies. Funding gaps remain a big concern among experts, with the United Nations funding target set for $22-24 billion globally and the available cash for responding to HIV at just $15 billion in 2010. Experts will also appeal for a jumpstart to current prevention strategies, which Fauci says have to accelerate in order to end the pandemic that has killed some 25 million people to date. "If the current slow rate of decline in infections globally -- on average just 1.5 percent per year over the past decade -- were to continue indefinitely, controlling HIV/AIDS would remain a distant goal," he wrote in Health Affairs magazine in July. Fauci and co-author Gregory Folkers, his chief of staff, called for optimal use of the prevention "toolkit" that researchers now have at hand. In addition to antiretrovirals for treatment and prevention, those tools include microbicides that show some effectiveness against HIV when applied to the vagina or rectum, showing up to 54 percent fewer infections in women who used them at least 80 percent of the time. Voluntary male circumcision has shown some success in Africa toward reducing HIV infection rates by 50 to 60 percent in heterosexuals compared to uncircumcised males. And researchers are gleaning more clues from a 2009 vaccine trial in Thailand that showed a modest 31 percent reduction in HIV infection, and hope to improve on those results in future trials Tourist Vietnam
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