Global finance anticipates framework for financial hub

International best practices are being utilised to fit Vietnam’s specific financial context

- By Ha Truc

International best practices are being utilised to fit Vietnam's specific financial context

As Vietnam advances plans to operationalise an international financial hub, attention is increasingly turning to the policy and market reforms needed to attract global capital and sustain infrastructure-led growth.

A high-level working visit to the US by Deputy Prime Minister Nguyen Hoa Binh during March 21-30 has brought the Vietnam International Financial Center’s (VIFC) ambitions into sharper focus, with top global financial institutions offering proposals to help mobilise foreign capital at scale.

Richard Sobel, partner of Strategic Development at Polymorphic Capital, assessed that establishing an IFC is the right direction, given Vietnam’s strong potential in human capital, geostrategic positioning, and regional connectivity.

“Vietnam should focus on enabling talent, attracting capital, and fostering startups, while improving administrative processing speed and ensuring clear procedures,” Sobel said. “From our experience, key factors for attracting investment include the rule of law, depoliticisation of business activities, human capital development, and fast administrative procedures,” he added.

For emerging financial technologies, both globally and in Vietnam, the participations of financial institutions and investment funds help refine policies currently under pilot implementation.

At a meeting between DPM Binh and Jeff Margolick, head of Product Management for Depositary Receipts at Deutsche Bank, the latter noted that Vietnam is a priority market.