ASEAN Business

People wade through flood waters on a boat in Hanoi as heavy rains in the aftermath of Typhoon Yagi brought flooding to northern Vietnam. PHOTO: AFP

Dear BT reader,

This week, northern Vietnam was severely impacted by Typhoon Yagi, Asia’s most powerful storm this year, with the death toll rising to at least 179 people after it tore through China’s island of Hainan and the Philippines.

In Hanoi, the Red River reached its highest water level in 20 years, flooding streets and forcing thousands of nearby residents to evacuate. Travel agencies have halted operations and there is no clear timeline for recovery. Read our Vietnam correspondent Jamille Tran’s story to find out more.

The recent disaster has not diminished Vietnam’s appeal to foreign investors. In response, several private equity firms in the country have established the Vietnam Private Capital Agency, aiming to facilitate US$35 billion of investment into Vietnam over the next decade.

While the target is higher than previous years’ annual investments, market observers remain optimistic that Vietnam will continue to attract foreign investment as global companies consider relocating their operations amid US-China tensions.

This trend is particularly evident in the South-east Asia data centre industry, where Malaysia, Indonesia, Singapore, Vietnam and Thailand are leading a boom. However, despite the influx of billions in investments, the strain on power grids and water supplies is raising concerns for governments.

Each country is developing its own solutions for sustainable development, including renewable energy initiatives. Read this piece – a collaborative effort by several BT journalists – to find out what the various nations are doing.

In Thailand, consumer confidence fell for the sixth consecutive month in August, reaching a 13-month low due to worries about sluggish economic growth, record-high household debts, and rising living costs amid uncertainty over new government policies.

To stimulate the economy, the Thai government proposed accelerating the rollout of a 145 billion baht “digital wallet” programme, which was initially scheduled for the last quarter of the year, to address urgent economic needs.

This measure is seen as a cornerstone of Thailand’s strategy to revitalise its economy, which grew by only 2.3 per cent in the second quarter.

I hope you have enjoyed this week’s reads. Be sure to explore more stories in the sections below, and see you next Friday!