Google’s AdSense is an attractive revenue making opportunity for small, medium and large web sites since a long time now but it’s against the rule of Google’s AdSense if you are running any website only for AdSense earning for which you need to include a few Affiliate links or sell your own product, too.

Googlehas a lot of forbidden practices when it comes to AdSense, and too many user are finding out they spoiled Google’s policies after the fact – because they never bothered to read the AdSense policies in the first phase.

Google AdSense is the Google program where you can host pay-per-click ads on your Website. When someone clicks an ad, you earn money. So if you are one of those people that don’t like the idea of paying for a site, this is an excellent way to earn your money back and then some.

How Much You Can Earn With AdSense?

The amount you’ll earn depends largely on the amount of targeted traffic you receive to your own site, how well the ads match your audience’s interests, the placement of the ads on your pages, and of course the amount you receive per click.

Ideally, you should create a site on a topic you know a lot about. That way you’ll have a much easier time creating a generous amount of content on that subject.

Determine a goal for what you want to earn using AdSense. Of course, you want to earn a lot, but make sure it’s realistic.

    Be realistic Forget about the fantasy story you read on internet about earning big money from Google. If you think of making a website and getting to be instant rich, it is likely to disappoint you. Imagine that if you build a small website with 100,000 page views per month with 0.5% CTR and 5c average payout, you will only get US$25 (100,000 x 0.5% x 0.5c). To achieve 100,000 page views a month, you possibly need 500-1000 users. By theory, your website can reach more than billions of internet users in the whole world, but there are also 100 millions of websites competing for users.
    Website promotion techniques especially search engine optimization and article marketing will bring more traffic to your site. You also need to have content that will attract the ads with the highest Pay Per Click (PPC) rate that are relevant to that content. Google is at least as interested as you are in having your ads perform well on your site and therefore provide the info you need to optimize your AdSense.
    Start building keyword-rich pages containing well researched, profitable keywords, and get lots of high quality links to your site. For example, if your site is about topics such as debt consolidation, web hosting or asbestos-related cancer, you’ll earn much more per click than if it’s about free things. On the other hand, if you concentrate only on top-paying keywords, you’ll face an awful lot of tough competition. What you want are keywords that are high in demand and low in supply, So do some careful keyword research before you build your pages.

How to Join AdSense:

Once you have pages ready for your website, go to http://adsense.google.com to apply.

When you are accepted, simply copy and paste the provided HTML code into any page that you’d like to show the ads. If you’ve done a good job of defining the content on your web pages, the ads that show should be relevant to the content of your page…increasing the chances of click-thrus by your visitors.

You can either display the ads vertically along side the page like Google does or in a banner-like formation horizontally across your pages. The placement is up to you. You can even customize the colors to match your site’s theme. Google AdSense allows you to specify up to 200 URLs for sites you want to bar from placing ads on your pages. The problem is that most times you won’t know the competitors are out there until their ads appear.

Google Money Making Tips on Succeeding:

    Create a website with your Don’t try to use a free web host because your site will likely have banners and pop-ups and get rejected because it looks unprofessional. A free web host will give you a website address like this:

http://www.thefreewebhost.com/yoursite/member1234/home.html instead of… http://www.yoursite.com Start by registering your own domain and then select a web host.

    Quality is the most important part of any web site. If your site does not contain the content of expected quality the visitor might not come back, if the main goal of your site is to make money with AdSense, be sure to choose a topic that you know a lot about so you can write lots and lots of content. A variety of size and shape ads for placing in your content are available. These can be text or image ads or both – you specify what you’ll allow. Ad units are full ads. Link units are simply a strip of text links that your visitors might want to click. Google allows you to put up to 3 Ad Units and 1 Link unit on each page of your Web site.
    Get traffic. Once your site is up and running you’ll need to learn how to get your site listed in the major search engines.
    Google AdSense for Search – This place a search box on your Web site. When a user enters a term and conducts a search, a search results page opens, that hosts more pay-per-click ads. You can customize the color scheme of the search results page to harmonize with your web site. Although Google doesn’t release exact details as to how they determine the ads to serve on a given page, they do say that it’s the text content of the page that matters, not the Meta tags.
    Google Referrals – You canmake money by referring visitors to use a Google product, like AdSense, AdWords, the Google Toolbar and other Google software. For example Google generates the code that you paste into the desired location on your web page. You can choose from a wide variety of buttons and text links of different colors. If someone goes to your site and clicks the link and signs up for an AdSense account, when that person earns a $100 from Google AdSense and receives a payout from Google, you’ll also receive $100 for referring them, if an ad dynamo happens to visit your site and uses your referral link, you can make money anyway!

Google AdSense Payments:

Google will not issue an AdSense payment until your earnings exceed $100. Unfortunately, there are loads of Google AdSense Forum entries about website operators who accumulated $90 or more in click through earnings only to get banned from Google and not get paid anything at all before they ever reached $100. This may be because Google doesn’t take a close look to see if you’re complying with their guidelines until it comes time to pay you.

Don’t's:

    Do not click your ads. If Google catches you, they will suspend your account and retain any earnings you might have. However, if you, by mistakes, click your ads for one or two times, Google will keep that earning but rather not to punish you as long as it doesn’t happen constantly.
    Google has a lot of restrictions on how the ads have to be displayed. One of the major reasons for account suspension is that webmasters tried to blur the ads and mislead others to think that it’s “content”. For simplicity, never attempt to use CSS to hide Google’s logo unless you’re authorized to do it.

Patience is key with Google. It can take a few months. Don’t create a hodgepodge site with topics on everything under the sun. Stay focused and make sure your site has an obvious theme.

Getting into Google is completely free and can bring in hundreds or even thousands of visitors per day. Then do the same with Yahoo, MSN, etc. All The Best!

By emarketinguide

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A ceremony to send back the remains of four US soldiers was held at Hanoi’s Noi Bai Airport on Tuesday, the 112th repatriation of its kind since 1973, according to the US Embassy.

The remains and their relics, which were sent in four coffins, were found during a cooperative search conducted between this October and November and were handed in by local people. Initial autopsies by the two countries’ experts showed that the remnants might belong to US soldiers who were lost in the Vietnam War. However, they were sent to Hawaii State for further examination. Speaking at the handing-over ceremony, the US Government’s representative expressed gratitude and appreciation for Vietnam’s human and goodwill policy as well as its effective cooperation in the search during the past years. Also on Tuesday a mass grave together with soldiers’ belongings was discovered during excavation work at the construction site of a drainage system in the central province of Quang Ngai. Nguyen Trong Luyen, head of Quang Ngai Town’s Army Steering Committee, said they are yet to identify the remains as also estimate their number. But local agencies suspect it was the grave of Vietnamese soldiers who died in an attack on Quang Ngai Prison under the US army’s control in 1968, according to Luyen. An excavation was planned on Wednesday to carry out further tests. Reported by Huong Giang – Hien Cu

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The Asian American Association (AAA) has received 114 Vietnamese antiques for an exhibition in the US starting next month and another one in February next year.

The antiques are considered typical of Vietnam’s north, south and central regions and will be first exhibited at the Museum of Fine Arts in Houston from September 13 to January 3 next year. They will then be showcased at the Asian Association Museum in New York from February 2 to May 2. The items, ranging from fine arts pieces to those relating to revolutionary history, are on loan from prominent museums nationwide including in Hanoi, Da Nang City, Hue, Ho Chi Minh City, and neighboring Dong Nai and Long An provinces. Source: Tuoi Tre

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Workers weaving bags from sedge at a unit in Nam Dinh Province. People working away from home who lost their jobs due to the economic downturn may not find employment if they return to their villages.

The economic downturn has seen production fall in the countryside, sending incomes plunging and increasing the jobless rate, according a recent report by the Institute of Policy and Strategy for Agriculture and Rural Development (IPSARD). Researchers said this has been exacerbated by the return of many native residents who lost their jobs elsewhere. The institute, belonging to the Ministry of Agriculture and Rural Development, also found most rural residents have also cut back on both their consumption and investments. Many households have slipped below the poverty line, with mountainous regions being the hardest hit. IPSARD’s report follows research it did on the impact of the economic downturn on people in rural areas at the insistence of the National Assembly’s Economic Committee. The study, which was supported by the Dutch development organization SNV, polled residents in 584 communes in four provinces – Nam Dinh in the Red River Delta, Lang Son in the northern mountainous region, Binh Thuan on the central coast and An Giang in the Mekong Delta. Most people in these communes live on farming and fishing though researchers found much farmland left fallow this year. Rising unemployment More than 21 percent of domestic migrant workers hailing from these provinces have returned home this year. 17 percent of those who had gone abroad to work also returned in the first quarter. Only 11.3 percent of the returnees have found jobs, while in mountainous regions the number is between 2.7 and 7.4. The survey also found many hired farm workers have become jobless, with the rates climbing in coastal area and delta regions. Without quoting specific numbers, the report said an average of 85.3 percent of farm workers in the four provinces have lost their jobs. Among factory workers, the layoff rate is 8.8 percent. Poverty, hunger spread More than 68 percent of 584 communes surveyed said residents have cut down their expenses on food, specifically meat and fish, by an average of 18.5 percent. They have also spent 25.9 percent less on construction and 23.6 percent less on high-value goods. In the four provinces surveyed, the number of communes having poor families has increased by nearly 16 percent over 2008. An Giang topped the list at 19.6 percent. This has affected the “hunger elimination and poverty reduction” program, the report said. A person earning less than VND200,000 a month in rural areas and VND260,000 in urban areas is considered poor. Shrinking production Farmers reported that they have had to sell farm produce at 14 percent lower prices than last year, and have been unable to sell some produce. Both rural and mountainous areas have found difficulty in selling farm produce, the report said. Nearly 5 percent of farmlands have been left uncultivated in the winter-spring season, while 0.7 percent more fish farms than in 2008 have remained fallow this year. In the four provinces, more than 15 percent of small industries have closed down this year. Another 8 percent had to cut back on production and lay off workers. The industries also reported their products fetched 14.6 percent lower prices than usual. Reported by Giang An

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PetroVietnam Finance Co., a unit of Vietnam Oil & Gas Group, will lend coffee company Vinacafe Buon Ma Thuot Co. up to VND750 billion (US$42.2 million) to fund development of a plantation.

Vinacafe would use the money to buy urea and other products from PetroVietnam Fertilizer & Chemical Joint-Stock Co., the country’s biggest-fertilizer producer, the lender said in an e-mailed statement Friday. “We offer Vinacafe an interest rate of 6 percent for this one-year loan as it is part of the government loan subsidy program,” PetroVietnam CEO Tong Quoc Truong said in a phone interview. “This is a very good rate compared with the lowest rate of 10 percent we have offered to others.” Vietnamese lenders gave VND255 trillion ($14.3 billion) in loans to businesses between February 1 and April 23, after the government started a subsidy program to bolster the slowing economy. Source: Bloomberg

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The State Bank of Vietnam said Friday it has allowed the Ho Chi Minh City Deutsche Bank AG to increase its registered capital from US$15 million to $24 million.

The German bank opened its Vietnam branch with a capital of $15 million in June 1995, the central bank said in a statement on its website. Currently, there are 38 foreign banks operating in Vietnam. Source: Thanh Nien

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The world's fish stocks will soon suffer major upheaval due to climate change, scientists have warned.

Changing ocean temperatures and currents will force thousands of species to migrate polewards, including cod, herring, plaice and prawns.

By 2050, US fishermen may see a 50% reduction in Atlantic cod populations.

The predictions of "huge changes", published in the journal Fish and Fisheries, were presented at the AAAS annual meeting in Chicago.

Marine biologists used computer models to forecast the future of 1,066 commercially important species from across the globe.

"The impact of climate change on marine biodiversity and fisheries is going to be huge," said lead author Dr William Cheung, of the University of East Anglia in the UK.

"We must act now to adapt our fisheries management and conservation policies to minimise harm to marine life and to our society.

"We can use our knowledge to improve the design of marine protected areas which are adaptable to changes in distribution of the species," he told the conference.

Sinking feeling

The world's oceans are already experiencing changes in temperature and current patterns are changing due to climate change.

Existing patterns of catches will change

To quantify the likely impact on sea life, Dr Cheung and his team developed a new computer model that predicts what might happen under different climate scenarios.

While scientists have made projections of climate change impact on land species, this is the most comprehensive study on marine species ever published.

"We found that on average, the animals may shift their distribution towards the poles by 40km per decade," said Dr Cheung.

"Atlantic cod on the east coast of the US may see a 50% reduction in some populations by 2050."

The invasion of new species into unfamiliar environments could seriously disrupt ecosystems, the researchers warn.

Some species will face a high risk of extinction, including Striped Rock Cod in the Antarctic and St Paul Rock Lobster in the Southern Ocean.

Sea-saw

But of course, as fish migrate polewards, fishermen in some areas will see their stocks increase.

The model predicts an increased catch in the North Sea - benefiting fishermen from Nordic countries.

But fishermen in tropical developing countries will suffer major losses in catch.

The socio-economic impact could be devastating, according to another study published recently in the same journal.

Thirty-three nations in Africa, Asia and South America are highly vulnerable to the impact of climate change in fisheries, according to scientists from the World Fish Centre.

Of these, 19 were already classified by the United Nations as "least developed" because of their particularly poor socioenomic conditions.

"Economically, people in the tropics and subtropics likely will suffer most, because fish are so important in their diets and because they have limited capacity to develop other sources of income and food," said Edward Allison, director of policy, economics and social science at WorldFish.

"We believe it is urgent to start identifying these vulnerable countries, because the damage will be greatly compounded unless national governments and international institutions like the World Bank act now to include the fish sector in plans for helping the poor cope with climate change."

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A Ho Chi Minh City court Wednesday sentenced 24 defendants, including three Malaysians who are still on the run, for organizing and participating in illegal gambling.

Lim Leong Seng, Goh Ming Huat, and Chan Chee Sing, all from Malaysia, received five, four, and three years respectively for organizing gambling, the court ruled Wednesday. The Malaysian trio fled Vietnam after charges were laid last year and they were placed under house arrest. The Vietnamese police have been working with the International Criminal Police Organization (Interpol) but have not been able to locate them. Vietnamese Le Anh Tuan was jailed for three years, Vietnamese Le Thi Hong Nhung two and a half years, and Vietnamese-American Hua Quan Timmy six months and 22 days, also for organizing gambling, the court said. The other 18 Vietnamese defendants, found guilty of illegal gambling, received sentences ranging from one-year suspensions to two and a half years in jail. All 24 defendants were fined between VND10 million-50 million (US$572-2,860) each. According to the indictment, the six people charged with organizing gambling had connived to lure Vietnamese citizens to casinos at three luxury hotels in HCMC between April 2006 and May 2007. Vietnamese law prohibits Vietnamese citizens from gambling but allows hotels rated four-stars and above to operate casinos for people holding foreign passports. The police shut down the operation in May 2007 after raiding three clubs: De Palace Club at the Saigon Food Center in District 1, the Victoria Club at the Duxton Saigon Hotel in District 1, and the OV Club at the Equatorial Hotel in District 5. All of the clubs were run by Malaysian businessman Yap Kim San, who still hasn’t been charged. The court Wednesday also called for continued investigations into Yap’s role in the case. Reported by Le Nga

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Experts are warning of increasing sex-related crimes and general social disorder if the highly unnatural level of gender imbalance in the country is not addressed.

They were speaking at conference in Hanoi Monday on “building a project to intervene in elements that affect gender at birth,” organized by the General Department of Population and Family Planning. The male to female ratio in Vietnam has climbed from 105:107 to 112:100 in the 1999-2007 period, said Pham Nang An, deputy head of the population and family planning bureau under the department. He said the ratio was alarming as it was far beyond the natural gender ratio of 103-106:100. The 112:100 ratio was similar to China’s in 1987, An added. It had been estimated that in 2004 in eight to ten years, there could be “40 to 60 million missing women” in China. An warned that rising gender imbalance in Vietnam could lead to social disorder and an increase in sexual crimes. Pham Ba Nhat, head of the bureau, attributed the ratio to the traditional preference for male children in Vietnamese society. Nhat said gender diagnosis during pregnancy and abortion of female fetuses was the main cause of the imbalance. He added that elsewhere in the nation, that when baby girls were born, some parents informed authorities that the babies were adopted; thus they had the right to give birth to more babies. Vietnamese law regulates that a couple can only have two children at the most. Prof. Nguyen Duc Vy of the Central Maternal Hospital said there was a need to distinguish between legal abortion and abortion based on gender. The latter must be banned, he added. Vy said there should be a ban to abort fetuses of more than 12 weeks old, except for birth deformities, as at this time the fetus’s gender could be known. Nguyen Dinh Cu, head of the Institute of Population and Social Issues, said surveys showed that more than 66 percent of pregnant women knew their fetus’s gender before giving birth, and up to 98 percent of the cases were thanks to ultrasonography check-ups. Cu said the percentage showed that the implementation of the population ordinance, which bans parents from choosing their baby’s gender by any means, was lax. He added there had been no penalties prescribed so far on violators including parents, doctors, and medical staff relating to checking fetuses’ gender so far. Dr. Nguyen Thi Thuong from the institute said authorities should offer better welfare policies for the elderly and farmers as they still bore in mind that sons were the only people they could rely on to take care of them during old age. Daughters are considered outsiders as they have to live with their husbands’ families after their marriage. Another conference in Ho Chi Minh City last month disclosed that around three million Vietnamese men will have difficulty finding wives by 2030 due to the rising gender imbalance. Reported by Nam Son

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The first ten months of 2008 saw the influx of about US$59.3 billion of foreign direct investment (FDI) into the country, the Foreign Investment Agency under the Ministry of Planning and Investment said.

The ministry said it licensed about 68 projects worth over $2 billion in October, raising the total number of FDI licensed projects from January-October to 953 with a total registered capital of $59.3 billion. The investors of 247 FDI projects in Vietnam increased their capital investment by $1 billion in total in the last ten months. Malaysia tops the FDI list among 44 foreign investors in Vietnam during the period with 40 licensed projects worth $14.9 billion, followed by Taiwan ($8.6 billion), Japan ($7.3 billion) and Brunei ($4.4 billion). Despite the domestic and global economic turmoil, FDI inflow into Vietnam could reach a record of $62 billion by the end of the year, economic experts said. Reported by Vinh Bao

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As the seafood export target for the year is pushed further uphill by falling demand from major markets hit by the global financial crisis, some companies are looking for succor in the domestic market.

They are targeting domestic customers by processing more catfish products to supply restaurants and supermarkets. An executive from the Vinh Hoan Seafood Company said the domestic trend to use processed seafood products was increasing thanks to reasonable prices and increased convenience. Seafood exporters could find stability amid the global turmoil if they know how to exploit the domestic market potential, he said. This year’s export target of US$4.2 billion has become steeper for Vietnam’s seafood industry as the volumes shipped to major markets like the US and EU decline with the fall out of the global financial crisis. The Vietnam Association of Seafood Exporters and Processors (VASEP) says more than 930,000 tons of seafood were shipped in the first nine months of this year, generating $3.35 billion, for a 23 percent year-on-year increase. However, said VASEP Chairman Tran Thien Hai, seafood, one of the country’s main exports by value, was seeing a downward trend in export volume in the fourth quarter. Le Van Quang, chairman of Minh Phu Seafood Joint-Stock Company, said though his company did not have supply problems, it had refused some orders from US importers. “Before [the US recession], they paid for goods immediately after receiving them. But now, they always ask to delay payment as their customers buy goods on one-month credit. How can we dare to sell?” Quang said his company was negotiating better payment terms with importers facing capital shortages as a result of US banks tightening their policies. Ho Quoc Luc, chairman of Sao Ta Foods Joint-Stock Company, said his firm’s South Korean partners had just suspended plans to import goods as the won continued to decline. South Korea’s currency extended its loss this year to 35 percent to become Asia’s worst performer, according to Bloomberg. VASEP official Tran Thien Hai said some foreign customers just ignored contracts signed with Vietnamese exporters though they had earlier given detailed orders. Nguyen Dinh Huan, deputy general director of the An Giang Fisheries Import and Export Joint-Stock Company (Agifish), said though the company was yet to face difficulties in export, he was pessimistic about the near future. “It is certain that purchase orders will be reduced,” said Huan. Vo Thanh Khon, a manager of the Binh An Seafood Company, predicted that some countries would, in response to the economic crunch, re-establish protectionist measures, while consumers would cut their spending. As a result, the Vietnamese fisheries sector would face stiff challenges next year, he said. Minh Phu’s Quang said while input material costs had now increased by 40 percent compared to the beginning of the year, output prices saw no rise, and had actually fallen, in some instances. Hai noted that a kilogram of black tiger shrimp currently sold at only $9.70 against $11 earlier. Enlarging export markets Ho Quoc Luc of Sao Ta said local fisheries should not just focus on big markets like the US and EU, but look for new markets like Islamic nations. He pointed out that Malaysia was a potential market as this country’s annual per capita seafood consumption was expected to reach 61 kilograms by 2010 from the 45 kilograms at present. Nguyen Van Ben, general director of the Vietnam Food Industry Company (Vifon), said the company’s US and EU partners wanted to adjust purchase volumes monthly, and not sign year-long contracts as earlier. The importers also required Vifon to give notice of price increases, if any, two or three months before the effective day with clear reasons. Ben said as demand in traditional markets of Western Europe and North America tumbled, Vifon was trying to penetrate deep into other markets like Japan, South Korea, Singapore, Malaysia, the Philippines, and Eastern Europe. Meanwhile, Vu Thanh Phat, director of Mekong Lotus Company, said increased thrift among US and EU citizens can bring more opportunities for medium-priced Vietnamese seafood products to enter the market. The company has seen that while premium seafood such as tuna and shrimp saw a drop in export volumes, there was greater demand for cheaper seafood like basa catfish and cuttlefish. Source: TBKTSG

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Authorities in the southern province of Dong Nai have said they cannot suspend Taiwanese MSG-maker Vedan Vietnam for polluting the local river because it would be illegal for them to do so.

In a communication sent to the Ministry of Natural Resources and Environment, the province has quoted clause 4 of article 3 of the Decree on Administrative Penalties that rules an be administrative violation can only punished once. The inspection board of the Ministry of Natural Resources and Environment (MNRE) had earlier issued a decision on October 6 ordering Vedan to pay a fine of VND127.5 billion (over US$7.7 million). The decision does not mention suspension of the firm’s operations. Responding to the MNRE requirement that Dong Nai issue a different decision to suspend operations of the Taiwanese-invested firm, Huynh Thi Nga, deputy chairwoman of the provincial People’s Committee, told the ministry that the decision to suspend Vedan should have been included in MNRE’s decision. In mid-September, Vedan Vietnam was found using an illegal drainage system that is estimated to have discharged around 105,600 cubic meters of untreated wastewater into the Thi Vai River every month for many years. The firm has admitted breaking at least 12 environment protection codes over the past 14 years, according to the ministry. Source: TN, Agencies

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The Dong Nai Port Joint Stock Company opened for use an expanded harbor for cargo ships of up to 10,000 deadweight tonnages (DWT) in Go Dau A Port in southern Dong Nai Province on October 17.

The port has the highest capacity in Dong Nai, boasting a 100 meter-long and 22 meter-wide wharf. When connected with the existing wharf system, it will be able to handle three cargo ships of 10,000 DWT at once. According to government plans, Go Dau port complex (Go Dau A and Go Dau B ports) will be upgraded to accommodate cargo ships of 15,000 to 30,000 DWT. Source: VNA

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Justjared:

Troy (Zac Efron), Gabriella (Vanessa Hudgens) cười rạng rỡ khi họ dự lễ tốt nghiệp với những người bạn thân thiết trong bộ phim.

Các sao khiêu vũ trong khủng cảnh đẹp như mộng.

Dàn diễn viên nữ chính.

Bắt đầu một vũ điệu sôi động.

Họ là tình nhân cả trong phim lẫn ngoài đời.

Người đẹp Vanessa Hudgens.

Nhờ sự thành công của phần 1, 2, Vanessa trở thành một trong những diễn viên trẻ được teen yêu thích nhất hiện nay.

Ở Munich, Đức.

Tại London. Anh.

Dàn diễn viên ở Pháp.

Ở Madrid, Tây Ban Nha.

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Employees count money at an Asia Commercial Bank branch in Ho Chi Minh City. The central bank said Vietnam’s commercial banks do not have any direct connections with troubled foreign banks. Vietnamese banks have withdrawn funds from overseas banks to reduce their exposure to the US financial crisis and shifted part of the funds to banks in Singapore and Hong Kong, the government said.

But the government statement did not mention how much money was involved. Prime Minister Nguyen Tan Dung, in a separate statement, also urged the central bank to pursue flexible policies on interest rates, the currency and foreign reserves to ensure liquidity in the banking industry. Governments, central banks and regulators globally are scrambling to protect their markets from the financial tsunami sparked by last month’s collapse of investment bank Lehman Brothers. The impact has been felt mostly in the US and Europe but a number of countries in Asia have sought to assure investors that their banking systems are sound. The State Bank of Vietnam’s Monetary Policy Department, in a statement published on the government’s website at the weekend, said the Vietnamese banking sector is operating normally and that commercial banks do not have any direct connections with troubled foreign banks. In addition, the businesses of two Vietnam-based banks fully owned by HSBC Holdings and Standard Chartered, foreign banks' branches and all joint venture banks in the country are stable, the statement said. Limiting crisis impacts In a statement published by on the central bank’s website Monday, the prime minister asked the central bank to request commercial banks to review their operations to limit the impact of the global financial crisis. He urged the central bank to pursue a tighter monetary policy but maintain flexibility in management of interest rates, exchange rates and foreign reserves to ensure liquidity of the banking system. Dung said local commercial banks may implement measures such as restructuring investment portfolios and withdrawing funds to ensure liquidity after examining their deposits and investments in foreign financial institutions. Banks should also help exporters expand business as a measure to reduce the country's trade deficit, which has ballooned this year owing to the rising cost of imports as inflation surged to double digit levels. The prime minister requested the central bank to establish regulations to merge troubled local banks, the statement said. The central bank must also ask commercial banks to reassess thoroughly loans in “high-risk” fields, including real estate and stock investments. Real estate-related loans by commercial banks account for 9.15 percent of the country's total outstanding loans, online newspaper VnExpress reported last week. The State Bank of Vietnam's reserves rose to $21.9 billion at the end of September from $20.7 billion three months earlier, Governor Nguyen Van Giau said on September 30. The central bank has 82 percent of these reserves deposited with central banks in the US, UK, France, Germany, the International Monetary Fund and other global financial institutions, Giau said. The rest is held in banks with credit ratings of AAA or AA. Interbank rates stable The Vietnam interbank overnight rate, or VNIBOR, was stable at 14 percent and domestic lending rates were also stable, the Monetary Policy Department said. But the average rate for three-month interbank loans edged up to 17.68 percent Monday from 17.5 percent a week ago on stronger demand. "Demand for short-term loans is strong while long-term loans are not preferred as borrowers expect lending rates to ease," a dealer in Hanoi said. The central bank has raised the interest rate it pays to banks for their compulsory reserves against dong deposits from October 1, increasing it to 5 percent from 3.6 percent, to reduce lending rates. Bonds gain Five-year bonds advanced on speculation the central bank will lower the base interest rate by the end of this year. The dong remained unchanged. The yield on the benchmark note fell 16 basis points to 15.83 percent, according to a daily price from 10 banks compiled by Bloomberg. One hundred basis points make a percent. “Investors are passing on the word that the central bank may cut interest rates by the end of the year as the banking system's liquidity has increased,” said Vu Anh Duc, a senior dealer at the fixed-income department of the Hanoi-based Vietnam Bank for Industry and Trade, known as VietinBank. “Banks have reduced borrowing costs and the central bank also wants to bring bond yields down.” Source: TN, Agencies

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