At a conference on creating a financial centre in Vietnam held in Ho Chi Minh City on March 28, Minister of Finance Nguyen Van Thang said Vietnam is “on the brink of a golden opportunity” to establish itself as a key player in the global financial arena.

He highlighted the nation’s advantageous geopolitical location, stable economic conditions, and an increasingly welcoming climate for investment.

In 2024, Vietnam’s GDP reached over 7%, ranking among the highest in the region and the world, he said.

The country is also among the top 15 most attractive countries for foreign direct investment (FDI) globally, he added.

The IFC in Vietnam will meet international standards with transparency, efficiency, a solid legal foundation, high-quality human resources, advanced technology applications and a safe, sustainable investment environment, according to Thang.

“Our top priority is ensuring market stability, effective risk management, and the protection of investor rights as we work to create a safe and sustainable investment environment,” he noted.

Draft resolution

Vietnam is drafting a National Assembly resolution to establish a clear legal framework for developing an IFC with incentives aligned to international standards.

The strategy aims to liberalise the financial sector, facilitating effective and transparent operations for international institutions.

It also seeks to explore advanced financial mechanisms, invest in fintech, blockchain, and AI, and promote green finance initiatives, including sustainable products and ESG-compliant investment funds.

The government plans to develop HCM City to become an IFC over the next five years.

In recent years, HCM City has been ranked on the official list of emerging global financial centres. It has risen seven spots to 98th in the Global Financial Centres Index (GFCI), its highest ranking since debuting at 102nd in 2022.

The Politburo approved the establishment of an IFC in HCM City by the end of 2024, alongside a regional centre in Da Nang.

The IFC will be located on a 9.2ha site in the Thu Thiem urban area, aiming to attract international investors and boost FDI inflows.

A 29-member steering committee, led by Secretary of the HCM City Party Committee Nguyen Van Nen, will oversee the project's development.

With a Gross Regional Domestic Product (GRDP) of over US$73.8 billion, the city contributes 15.5% of national GDP.

The nation’s largest city is home to over 50% of Vietnam's fintech startups, as well as the country's first stock exchange. The city’s unique time zone and proximity to major regional hubs make it increasingly attractive for investment.

Nguyen Van Duoc, Chairman of the municipal City People’s Committee, said that the IFC will be crucial for capital flow, innovation, high-tech development, and governance improvement.

The initiative offers HCM City a chance to improve resource allocation, increase business capital access, and bolster Vietnam’s global trade finance position, he added.

In addition to HCM City, Da Nang in central Vietnam is also expected to become an IFC in the region.

These centres aim to connect Vietnam with global markets, attract foreign institutions, and boost investment opportunities. While the IFC concept is established globally, it is still new in Vietnam. The conference in HCM City was attended by hundreds of domestic and international businesses, experts, and financial institutions.

Vietnam seeks German assistance to financial centre development

VOV.VN - Deputy Prime Minister Nguyen Hoa Binh encouraged German businesses to study and invest in international financial centres that are to take shape in the future in Vietnam, during a roundtable in Frankfurt on March 24.