This is not merely a technical milestone, but also reflects substantive shifts in reforms and macroeconomic management by the Vietnamese Government.

David Sol, Global Head of Policy at FTSE Russell, said the March 2026 review confirms that key enhancements supporting the upgrade pathway for September 2026 remain on track.

Earlier, in a decision announced in October 2025, FTSE Russell confirmed that Vietnam meets the criteria for classification as a Secondary Emerging Market. While the decision was viewed positively within the international financial community, several technical aspects of market operations were still seen as constraints on large-scale international capital flows.

The latest interim review follows the 2025 decision and points to improvements in market accessibility and actual operations, factors of primary concern to global investors.

Christine Le, Chairwoman of the Vietnam Finance and Investment Association in the United Kingdom, stressed that this is  clear evidence of the effectiveness and consistency of the reform process in recent years, while also showing  tangible improvements in market accessibility and investability.”

Recent reforms have directly addressed bottlenecks that foreign investors have focused on for many years. Specifically, the introduction of a non-prefunding mechanism, the establishment of a framework to handle failed trades, and in particular the allowance for trading via global brokers have helped reduce risks and strengthen investor confidence. As a result, Vietnam’s market is shifting from being “compliant on paper” to meeting standards in actual operations- a key factor determining its ability to attract institutional capital.

One of the most important impacts of this review is a shift in how Vietnam is positioned within the global capital allocation system. Christine Le noted that previously, Vietnam was largely viewed as a frontier market with strong growth potential, but not within the mandatory allocation scope of most institutional funds. With the progress recognized by FTSE Russell following the March 2026 review, Vietnam is gradually moving toward a status where it can be integrated into the strategic asset allocation frameworks of global investors.

This shift is expected to increase both the scale and the quality of capital inflows, with a move toward more stable, long-term capital rather than short-term speculative flows.

However, the positive outlook also brings higher requirements for the market. Christine Le said that in the next phase, policy focus should shift from meeting upgrade criteria to maintaining and improving the quality of an emerging market, in terms of both standards and actual investor experience. Accordingly, priorities include effective and consistent enforcement of the legal framework; improved market accessibility for foreign investors; higher asset quality and stronger corporate governance; modernized market infrastructure; and enhanced risk management capacity. She added that maintaining macroeconomic stability and ensuring consistency in policy management are foundational factors determining the market’s long-term attractiveness and credibility.

The positive outcome of this review by FTSE Russell marks a step in Vietnam’s stock market upgrade roadmap and serves as a test of the depth of its reform process. With a strengthened foundation and continued efforts to improve, Vietnam’s stock market has a solid basis to develop toward greater stability, transparency and alignment with international standards.

FTSE Russell not only sets key benchmark standards but also acts as a “compass” for global institutional investors. From index-tracking funds to banks and asset managers, its indices serve as tools guiding strategy and capital allocation. Alongside MSCI and S&P Dow Jones Indices, FTSE Russell is part of a “power trio” shaping market standards, country classification and global capital flows.

2026 stock market launched toward long-term economic growth

VOV.VN - Vietnam on January 5 marked the opening of its first stock trading session of 2026 with a gong-ringing ceremony at the Hanoi Stock Exchange, pledging to develop a transparent, resilient and sustainable capital market to support long-term economic growth.