.Chapter 160

Time has come to the moon, and the sound of pure firecrackers has not yet dissipated, and China's neighbor Vietnam ushered in a stock market crash! Vietnam has developed rapidly since the implementation of the "socialist directional" reform in the 1999s. Its outstanding performance during the financial storm is even more amazing.

For a time, Vietnam seemed to have become a model for economic exhibitions in developing countries. Reports such as "grab the job of China's manufacturing industry" were everywhere and common. The concentrated bombing of the media made many Chinese residents also believe that "China should learn from Vietnam in many aspects."

But Zhang Yan never thought so. There is only one reason. Vietnam is too small. Perhaps it is not small to beat Vietnam in the southeast, but it is not like this in Asia. Vietnam cannot compare with the two strong East Asia. Even compared with the four little dragons, there is a huge gap. This gap in strength cannot be smeared by any effort.

Vietnam can only be natural allies of China and cannot become equal companions. This ancient country of China is the natural overlord on the earth. Although it will sometimes sink after hundreds of years of reincarnation, it will return to its original position as long as decades of cultivation and gathering. This foundation is not something that Vietnam can see against each other.

As expected, the report on the disgrace of Vietnam was suddenly in full swing. In contrast to these unknown voices, Vietnam's stock market was even worse. The Vietnamese stock market fell from more than 1 point in the year to more than half of the decline on March 30, 2019.

The situation became worse under this situation. In order to maintain normal economic operation, Vietnam raised interest rates, but the effect of doing so was not obvious. Due to a large number of currencies, Vietnam's inflation rate level reached an unacceptable level. Vietnamese residents rushed to fight against the US dollar, and Vietnamese banks refused to exchange, so they rushed to buy gold!

After the stock market is big, the real estate market plummeted. As a benchmark in Vietnam, Ho Chi Minh City also saw a plummeting house price in Ho Chi Minh City, which is a benchmark in Vietnam, it is inevitable that bad debts will be inevitable. Goldman Sachs believes that the unstricken lending standards may lead to an industry crisis in Vietnam. Half a year ago, this institution believed that Vietnam's assets are safe and exciting!

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"Boss, the General Secretary of Vietnam has come to Beijing. What did you think he came for the second time?" Kong Li asked with a cunning expression. Zhang Yan knew that the little girl must have known some gimmicks. These days, the gimmicks are very accurate, and sometimes even more accurate and fast than the gimmicks.

"Nothing is a social and righteous country. Big brother is gone. It is also a good place to visit my elder sister." Zhang Yan said something interesting in the 1960s. The Sino-Soviet split. The Vietnamese General Secretary described the Soviet Union as the eldest brother and China as the eldest sister. However, decades later, the eldest brother no longer existed, but the eldest sister clearly occupied the position of the eldest brother.

So it is understandable that when Vietnam's economy entered its most momentum, the Secretary of the Communist Party of Vietnam, Li Defan, came to Beijing.

Zhang Yanjin also knows some more insider things.

When meeting with General Secretary ***, Li Defan emphasized the traditional friendly relations between China and Vietnam "comrades and brothers".

Li Defan believes that China-Vietnam relations are "the Chairman Ho Chi Minh, personally created by the Chairman. The leaders of the two parties and two countries have been carefully cultivated. They are priceless treasures of Vietnam and China, the two countries and the people of the two countries."

Li Defan has also come to China many times before, which is the second time that he emphasizes the "comrade- and brotherly" relationship between China and Vietnam.

"All signs indicate that Li Defan's trip was not included in the foreign affairs agenda that China planned. The Ministry of Foreign Affairs website has no relevant reports so far. The Ministry of Foreign Affairs website only has a brief report with less than one word on the page. The Ministry of Foreign Affairs website "Forecast for Visits" column of the Ministry of Foreign Affairs website does not have relevant forecasts for Li Defan's visit. In addition, the conflict between Li Defan's visit time and Li Mingbo, Wu Boxiong and others also shows that this is very likely a temporary arrangement.

All these indicate that the top leaders of the country are currently anxious about the domestic economic situation in Vietnam. The Vietnamese side is trying to seize China as a life-saving straw and ask China for help."

"Help? What kind of help? Now Vietnam is a big pit that doesn't cost enough. This is a medium-sized country that produces rice and precious wood. It is also very prosperous in history. It is to bring this country back to normal track. It's not a small project, boss, do you think so?" Kong Li looked at Zhang Yan and said.

Zhang Yan smiled: "I think the most likely way to assist Vietnam requires is

support.

Now Vietnam's sovereign credit rating is negative. There is no need to borrow money in other places internationally, and capital is flowing out, and foreign exchange reserves are tight. Secondly, Vietnam may require us to provide some authorization to avoid the crazy escape of Chinese and Hong Kong capital. Mainland China, Hong Kong and Taiwan are the main sources of Vietnam's FDI.

But in this way, we will have a very good opportunity to achieve our goal, free exchange of RMB! Because except for us, no other country will be interested and capable of saving Vietnam!”

"How could it be? Some people now say that if things happen in Vietnam are not handled well, it will be the next Asian financial crisis. It will be inevitable that anyone will avoid it. If Vietnam is not saved, they will be ruined together!"

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Zhang Yan shook his head and said, "Vietnam's current situation is somewhat similar to that in Thailand before the Asian financial crisis, including capital flight, trade deficit, currency depreciation pressure, etc. However, Vietnam's capital outflow and Vietnam's depreciation may not lead to a new round of Asian financial crisis. However, Vietnam's own economy cannot escape the impact.

Thailand, which has had a different year of crisis, was in 1997, and the Internet bubble began to form. Due to the improper financial policies of the Thai authorities, the crisis broke out before the United States. Three years after the Asian financial crisis broke out, the US Internet bubble began to burst.

It should be pointed out that Vietnam's economic policies in the early stage tended to "super India and catch up with China", which accumulated risks for the overall Vietnamese economy. The interesting meeting in Washington required emerging economies to be export-oriented and not to establish a comprehensive national economic system (such as the heavy industry sector), which also laid the groundwork for the Vietnamese economic crisis.

I estimate: Nan’s current crisis is nothing, which means that although it is very bad, it is far from the bottom. All we have to do is wait! When it comes to the bottom, it is time for us to receive the goods!"

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As Zhang Yan expected, the Ho Chi Minh Stock Exchange closed down after its VN number fell for 16 consecutive trading days, although the exchange claimed that it was due to technical problems. The exchange will reopen on the 30th.

Many Vietnamese economic standards have already lit up red lights. In May, Vietnam's annual inflation rate continued to soar, reaching 252%, the highest in 13 years. Vietnam's trade deficit reached US$11.1 billion, mainly due to the rise in international energy, building materials and fertilizer prices, which increased Vietnam's imports during this stage by 71% compared with the same period last year. The World Bank predicts that Vietnam's foreign debt will account for 2006.

The Vietnamese government has begun to try various stages to curb inflation. The economic growth target announced by the Vietnamese deputy prime minister has dropped from the previously expected 9% to 7%. The Vietnamese central bank has raised the benchmark interest rate from 8 to 12%, and some banks have set loan interest rates to as high as 18%.

People lost confidence in the Vietnamese Dong. The 12-month non-delivery forward price of the Vietnamese Dong shows that the market predicts that the Vietnamese Dong will depreciate 33% against the US dollar in the next year, and even reach 1.
Chapter completed!