Golden opportunity for Vietnam to build International Financial Centre

The world is going through a period of fluctuations, geopolitical competition, climate change, global epidemics, armed conflicts, trade competition, supply chain crises, and the remarkable development of science and technology, digital transformation, AI, and blockchain.

“These factors have caused the global financial and investment flow to constantly shift,” said Minister of Finance Nguyen Van Thang.

The conference was a continuation of activities to promote investment attraction and international capital mobilisation chaired by the Ministry of Finance on the same day, demonstrating strong political determination to realise the goal of building a financial centre in Vietnam.

International finance centres are undergoing a restructuring process, moving from simply providing capital services to places where innovation converges, developing fintech, green finance, and innovative startup investment funds.

In Asia, new financial centres have emerged in Mumbai, Kuala Lumpur, Jakarta.

According to the minister, Vietnam, with its important geopolitical position, stable macroeconomy and improving investment environment, is facing a "golden opportunity" to position itself in the global financial centre chain.

According to Nguyen Van Duoc, Chairman of Ho Chi Minh City People's Committee, the government's decision to choose Ho Chi Minh City as the location for an International Finance Centre (IFC) is a great honour, and at the same time, a heavy responsibility that the Party Committee, authorities, and people are making efforts to successfully implement.

“The IFC is not only a place where large capital flows converge, but also a strategic driving force to promote innovation, develop high technology, improve governance capacity, and increase competitiveness and integration. This is an opportunity to improve the efficiency of resource allocation, expand access to capital for businesses, develop infrastructure, and cement Vietnam's position in the global trade finance network,” said Duoc.

“The development of the IFC in Ho Chi Minh City will bring socioeconomic benefits to the city and the country, and create a ripple effect to neighbouring cities and the Southeast Asian region. This will be the foundation for Ho Chi Minh City to improve its urban management capacity, develop sustainably, and expand comprehensive cooperation with global partners,” he said.

This year will be pivotal for the country's socioeconomic development strategy, and at the same time a strategic stepping stone towards the goal of becoming a modern industrialised country.

To achieve that goal, Vietnam has identified the IFC as a strategic spearhead, helping Vietnam transform its growth model, improve efficiency, and increase international competitiveness by participating more deeply in the global financial system.

Vietnam is currently drafting a National Assembly resolution on the IFC with the aim of establishing an open, transparent legal framework with preferential policies, in line with international practices.

“Building a financial centre is a new challenge for Vietnam, so we will learn from experience and work slowly to avoid missing this opportunity,” said Minister Thang. “We hope that the IFC will attract global financial flows and support existing financial centres."

Private conglomerate Milcon Gulf Group on February 25 expressed its interest in the establishment of the Vietnam International Financial Centre (IFC) in Ho Chi Minh City.

Thu Thiem New Urban Area on the Saigon River has been allocated as the site for Vietnam's first International Financial Centre.

Deputy Minister of Finance Tran Quoc Phuong received a delegation from the Bank of China (BOC) on March 19 to discuss the development of financial centres.