Building an IFC via global experience

Vietnam is developing its own international financial centres (IFCs) as one of the drivers of economic growth.

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Angela Knight, chair of the Astana Financial Services Authority and former UK Economic Secretary to the Treasury, talked with VIR's Thanh Dat about how to build hubs and offered insights from experience, including lessons from Astana and other global IFCs.What are the critical foundations for Vietnam to build a successful IFC?

The first and most important step is clarity of purpose. Vietnam needs to decide what it wants its IFC to do. There are many possibilities capital markets, asset management, fintech, commodities, derivatives but it is not feasible to develop everything at once.

A phased approach is essential. By prioritising key sectors and developing them step by step over several years, Vietnam can ensure that its regulatory framework, market structure, and overall offering are well-designed and attractive to international investors. This also provides clarity and predictability for global financial institutions looking to enter the market.

What governance models work best for such a financial centre?

A strong governance structure is fundamental. From international experience, including Astana, an effective model combines independence with coordination.

Typically, the IFC operates under an independent authority responsible for day-to-day operations. Alongside this, key institutions such as the regulator and the court must have their own independent governance structures.

Above all of these sits a higher-level coordinating body, often chaired at the highest political level, to ensure alignment and strategic direction. The key is clarity: each institution must have clearly defined responsibilities and a strong understanding of how they interact with one another.

How can Vietnam attract global capital while maintaining regulatory credibility?