Vietnam's stock market faces the opportunity to upgrade

Vietnam’s stock market is entering a new phase with the goal of upgrading. The market reform process has been implemented methodically and closely and has received positive assessments from international organizations.

Vietnam's stock market has become an important medium- and long-term capital channel for the economy .

Medium and long-term capital channel for the economy

With the theme “New Era, New Resilience”, the Vietnam Financial Advisors Summit (VWAS 2025) recently organized by the Finance-Investment Newspaper focused on discussing the impact of new institutions and new driving forces on the Vietnamese economy and financial market, with an emphasis on the stock market.

Commenting on the stock market in the new context of the country, Ms. Nguyen Thi Bich Ngoc, Deputy Minister of Finance, said: Moving towards a new era, the Vietnamese financial market is also facing an important transformation, notably a series of institutional breakthroughs for the stock market. Vietnam is facing the opportunity to upgrade its market from frontier to emerging in the near future.

After 25 years of formation and development, the Vietnamese stock market has become an important medium and long-term capital channel for the economy, catching up with many countries in the region.

According to Dr. Le Duc Khanh, Director of Analysis at VPS Securities Company, in 2025 the market will record an explosion, with liquidity reaching 70,000-80,000 billion VND in many sessions; many stocks will surpass their historical peak. "This shows that the market potential is still very large" - Dr. Khanh assessed.

According to Ms. Do Minh Trang, Director of Analysis of ACBS, the structure of investors in the market has also changed positively. Individual investors account for 85% but the proportion of domestic institutional investors has increased to 40% and foreign investors have remained stable. This shows that smart money from domestic enterprises is strengthening confidence in economic growth and the stock market.

Dr. Can Van Luc, Chief Economist of the Bank for Investment and Development, Member of the Prime Minister 's Policy Advisory Council, said that the stock market has five development drivers, of which the most prominent is the upgrading process.

Along with that, the national credit rating is assessed positively and if all public investment capital is disbursed, GDP can increase by 1.8-2 percentage points. However, he also noted some risks, such as the high stock price level (P/E 15 times, exceeding the regional average), the use of large financial leverage poses a risk when the market reverses, and there are also risks of cyber security, data security and financial crimes.

The issue of cyber security and financial crimes was mentioned at the seminar "Data security and cyber security" organized by Nhan Dan Newspaper.

Creating a solid foundation for market upgrading

Referring to the support for the market in the last months of 2025 and the coming time, economic experts emphasized the expectation of market upgrade, the ability to recover economic growth and loose monetary policy from major central banks...

At the discussion session on “Stock market facing new opportunities”, Mr. Bui Hoang Hai, Vice Chairman of the State Securities Commission, emphasized the success of the working trip led by the Minister of Finance to the United Kingdom and the Republic of Italy. This trip aimed to promote direct and indirect investment flows into Vietnam, while promoting the potential of the stock market in the eyes of international financial institutions.

According to Mr. Hai, the investment forum in Europe attracted about 200 investors, representing the world's leading asset management corporations. "What Vietnam has committed to is being implemented on time; the unfinished contents all have a clear roadmap and the highest determination to implement them, this strongly strengthens the confidence of foreign investors in Vietnam's reform process," Mr. Bui Hoang Hai shared.

Another important milestone is the signing of a memorandum of understanding (MOU) between FTSE Russell and the Vietnam Stock Exchange (VNX) on index development, improving capital market infrastructure and promoting international integration. This is a practical step in the process of meeting the criteria for market upgrade.

Mr. Bui Hoang Hai, Vice Chairman of the State Securities Commission, shared about projects to promote the stock market that will be implemented in the coming time.

Along with that, Decree 245/2025/ND-CP dated September 11, 2025 of the Government amends and supplements Decree 155/2020/ND-CP detailing the implementation of a number of articles of the Securities Law to resolve difficulties in operating the securities market.

Next, Decision 2014/QD-TTg dated September 12, 2025 of the Prime Minister approving the Project to Upgrade the Vietnamese Stock Market introduced many new regulations, creating a legal basis for the market to meet the requirements of rating organizations such as FTSE Russell and MSCI.

Mr. Bui Hoang Hai emphasized that the solutions to reform the stock market are not only aimed at upgrading the rating, but also at a further goal, which is to improve the efficiency of capital allocation and mobilization for the economy. Therefore, the Government and relevant ministries and branches have been determined in reforming the stock market, creating more favorable conditions for international capital sources to access the Vietnamese stock market.

In the coming time, many projects will be implemented synchronously, including: Project on restructuring the stock market to clearly define the role of each floor, strengthen the trading infrastructure; Project on developing institutional investors, increasing the proportion of institutional investors to balance with individual investors, thereby stabilizing the market and improving investment efficiency; Central Clearing Counterparty (CCP) mechanism to help foreign investors limit the risk of transaction cancellation, improve transparency and safety; Project on restructuring investors and developing the fund industry, encouraging the participation of professional investment funds, thereby diversifying products and increasing market depth.

Mr. Dang Thanh Tung, Director of Dragon Capital, assessed this as a positive signal for the sustainable development of the Vietnamese stock market. “In the long term, Vietnam is an attractive destination for international capital flows, thanks to the Government's steadfastness in reform goals and economic development policies,” Mr. Tung commented.

The Government’s determination to put the Vietnamese stock market into the FTSE Russell’s “secondary emerging” group and MSCI’s “emerging” group in the long term not only demonstrates its ambition for international integration, but also affirms its commitment to creating a transparent, stable and sustainable investment environment for domestic and foreign investors in the Vietnamese stock market.

TO HA - QUYNH TRANG

Source: https://nhandan.vn/thi-truong-chung-khoan-viet-nam-truoc-co-hoi-nang-hang-post913290.html