International financial center helps increase investment attraction in Ho Chi Minh City

Ho Chi Minh City, the economic locomotive of the country, is receiving positive signals from the new investment flow, both domestic and international, into the city. From key infrastructure projects to the upcoming operation of the International Financial Center this November, it is contributing to creating a strong momentum for the city's growth.

The International Financial Center is expected to operate by the end of this year with 7 billion USD in initial infrastructure investment, focusing on banking, fund management, fintech and derivatives trading. This will be the biggest breakthrough for the Ho Chi Minh City economy. With the expected contribution of the financial services sector alone increasing from 8% to 20% of GRDP, the digital economy to 35% of GRDP, creating sustainable momentum.

Associate Professor, Dr. Nguyen Huu Huan - Member of the Advisory Board to establish the International Financial Center in Ho Chi Minh City said: "With technology as the foundation, with AI and blockchains as the foundation, secondly, our operating costs will be much cheaper than the International Financial Center in the region. Those will be the highlights for us to attract".

Besides foreign direct investment flows, indirect capital flows are also expected to increase sharply, in the context of piloting specific legal sandboxes and free international capital flows.

Mr. Quan Trong Thanh - Director of Analysis, Maybank Investment Bank shared: "FTSE will include Vietnamese stocks in its indexes in September next year. I still believe that with a very clear and bright macro picture of Vietnam in the medium term, plus the story of stocks being officially included in the indexes, we will have a specific ETF cash flow flowing in."

Besides the financial sector, public investment continues to be an important "seed capital" to create momentum for the city. From the beltway, metro to the eastern creative urban area, large infrastructure projects are and will strongly stimulate investment and consumption demand.

Mr. Huynh Minh Tuan - Founder of FIDT Investment Consulting and Asset Management Joint Stock Company commented: "We have Can Gio port, Long Thanh - Dau Giay expressway expansion and metro lines will be BT-ized. I think Ho Chi Minh City is a growth pole in the directions that will be supported by the Government in the next 5 years."

The megacity of Ho Chi Minh City is gradually creating an investment - finance - technology ecosystem, not only to attract international capital flows, but also to promote endogenous capacity, consolidating its position as the country's economic locomotive in the new period.

Source: https://vtv.vn/trung-tam-tai-chinh-quoc-te-giup-tang-suc-hut-dong-dau-tu-vao-tp-ho-chi-minh-100251111125019951.htm