News: The Straits Times -  17 November 2009


Ties with Vietnam growing
By Lee Seok Hwai

(Picture: Vietnam President Nguyen Minh Triet and Singapore's President S R Nathan making their way into the Istana yesterday for a state banquet hosted by Mr Nathan. With them are Mr Triet's wife, Madam Tran Thi Kim Chi, and Mrs Nathan. - ST photo)

(Picture: Vietnamese President Nguyen Minh Triet, who is on a two-day state visit to the Republic, meeting Prime Minister Lee Hsien Loong and Minister Mentor Lee Kuan Yew yesterday. In the evening, S R Nathan hosted a state banquet (right) for the visiting leader. Singapore is one of Vietnam's top five investors with cumulative investments worth US$16.9 billion. - ST photos)


TIES between Singapore and Vietnam have grown even during the recession, President S R Nathan said yesterday, and look set to deepen as the economic gloom lifts.

At least five senior leaders from both sides have exchanged visits in the past year, one of which concluded with the signing of a defence cooperation pact in September, Mr Nathan said at a state banquet he hosted for visiting Vietnam President Nguyen Minh Triet. Trade ties remained robust.

'Our strong political ties are complemented by equally strong economic ties that continue to deepen even amidst the global financial crisis,' Mr Nathan said.

The state visit is a culmination of a year of high-level bilateral exchanges and serves to further cement already strong bilateral ties, he said.

Mr Nathan announced that in January, Prime Minister Lee Hsien Loong will travel to Vietnam, where he will launch the fourth phase of the Vietnam-Singapore Industrial Park (VSIP) in Haiphong, the third-largest province there.

The VSIP is a flagship cooperation project launched in 1996, and now stands on about 5,000ha of land in three provinces in north and south Vietnam. Total foreign investments are valued at over US$2.4 billion (S$3.3 billion).

President Triet yesterday described the VSIP as 'a famous Singapore trademark in Vietnam as well as a symbol for the success of Vietnam-Singapore cooperation'.

Vietnam would continue to develop strong and long-term ties with Singapore, he said.

Accompanied by his wife and a delegation comprising several ministers, Mr Triet is on a two-day state visit to Singapore - his first since he was elected to office in 2006. It is also the first visit here by a Vietnamese president since 1998.

The focus of the trip is on drawing investors to Vietnam, whose growth was hit by the global downturn. Growth is slowing to an expected 5.2 per cent this year, the lowest in a decade.

Singapore is one of Vietnam's top five investors with cumulative investments worth US$16.9 billion. Bilateral trade last year was US$15.6 billion.

Mr Triet met some of the chiefs of top Singapore companies yesterday. He will meet others today and also give a lecture to local and Vietnamese business executives.

Yesterday, he held separate meetings with PM Lee, Senior Minister Goh Chok Tong and Minister Mentor Lee Kuan Yew.

PM Lee and Mr Triet discussed bilateral and international developments, including last weekend's Asia-Pacific Economic Cooperation Summit which Mr Triet attended, the Ministry of Foreign Affairs said in a statement.

In his talks with Mr Goh, Mr Triet affirmed the progress in the Singapore- Vietnam partnership under the Connectivity Framework Agreement, which guides economic cooperation in six areas, including investment and transportation.

MM Lee and Mr Triet discussed ways to enhance ties, such as broader exchanges in education and human resource development.

The two countries also pledged to work closely when Vietnam takes over Asean's rotating chair next year.

PM Lee underscored Singapore's commitment to work with Vietnam.

President Nathan said Vietnam will play an important role in helping to establish the grouping as a hub within East Asia - a vision Asean leaders articulated at their recent pow-wow in Thailand.

'This exciting project will be conceptualised and shaped during Vietnam's upcoming chairmanship. Singapore pledges our continued support in working closely with Vietnam,' Mr Nathan said.

- end of ST article