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Yahoo! My Yahoo! Mail Yahoo! Search Search: Sign InNew User? Sign Up News Home - Help Navigation Primary Navigation Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular Secondary Navigation Singapore Asia Pacific World Search Search: Vietnam reduces taxes to push up demand: govt AFP - 1 hour 40 minutes ago HANOI (AFP) - - Vietnam will reduce some tariffs on goods and services to push up demand in the face of an economic slowdown, according to a decision signed by the prime minister. ADVERTISEMENT Value-added tax (VAT) on garment and textile products, cement, and motorbikes will be reduced by 50 percent between May 1 and December 31, said the ruling signed on Thursday. Registration fees for cars with fewer than 10 seats will also be reduced by half, while garment and footwear enterprises will benefit from a 30 percent cut in corporate income tax for the fourth quarter of last year, it said. The cuts were to "stimulate demand and consumption" and prevent an economic downturn, the government said in a statement. A separate government announcement said farmers, who are suffering the most from the slowdown, will from May get concessionary interest rates for bank credits to buy Vietnamese-made farming tools and processing equipment. The credits will be interest free or reduced by four percent depending on the amount involved. The majority of fast-developing Vietnam's people remain farmers. The moves are part of broad stimulus measures earlier announced by the communist government. On Wednesday, Prime Minister Nguyen Tan Dung told visiting Singaporean Minister Mentor Lee Kuan Yew that the country's economic growth would pick up and could reach between five and 5.5 percent this year. In the first quarter of 2009, Vietnam recorded 3.1 percent growth, the lowest level on record. The World Bank has projected the country would expand by 5.5 percent this year, while the Asian Development Bank said Vietnam could achieve 4.5 percent, still leaving it in better shape than most Asian economies despite a global downturn. Email Story IM Story Printable View Blog This Recommend this article 0 users recommend Sign in to recommend this article » Most Recommended Stories » Related Articles: China's Economy China's premier says economy better than expectedAP - 1 hour 19 minutes ago Vietnam reduces taxes to push up demand: govtAFP - 1 hour 40 minutes ago China sets up 10 bln dlr fund for SE Asia: WenAFP - 2 hours 24 minutes ago U.S. closed banks match total for all of 2008Reuters - Saturday, April 18 Related Articles: Business Zurich Financial to buy AIG US unit for $1.9BAP - Friday, April 17 Rosetta Stone shares jump in public debutAP - Friday, April 17 Oil hovers near $50 as recovery doubts lingerAP - Saturday, April 18 Survey: U.S. newspapers shed 5,900 jobs in 2008AP - Friday, April 17 Zurich to buy AIG auto unit for $1.9 billionReuters - Friday, April 17 Enlarge Photo Vietnam reduces taxes to push up demand: govt Related Photos Slideshow Full Photo Coverage: Business & Economy Related Full Coverage China Economy china economy All Full Coverage Most Popular – Business Viewed Bad mood, better recall, researchers find Police nab Norwegian pair during high-speed sex French warship detains pirates, US urges action Harry Potter actor arrested over cannabis find US economy contracts further, remains weak: Fed View Complete List » Search: Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular Copyright © 2009 Yahoo! Southeast Asia Pte Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Privacy Policy - Terms of Service - Community - Intellectual Property Rights Policy - Help

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