Financial centres to create space for emerging industries

Financial centres to create space for emerging industries

Prime Minister Pham Minh Chinh has underscored that developing an international financial centre is not merely about attracting investors, but about creating room for emerging industries.

Speaking on August 2 at a conference on establishing an international financial centre (IFC) in Vietnam, the PM described the event as a strategic milestone for attracting international capital flows, advanced technology, and high-quality human resources to spur economic growth and enhance national competitiveness.

Prime Minister Pham Minh Chinh at the August 2 conference in Ho Chi Minh City

He stressed that building and developing a successful IFC requires high determination, effort and action, decisiveness, and efficiency.

The PM noted that Resolution No.222/2025/QH15 has provided the first legal framework and a solid foundation for the construction, operation, and development of an IFC in Vietnam. Work is already under way to complete the legal architecture.

To implement the resolution effectively, he called on all levels of government to thoroughly grasp and seriously execute several core directives.

PM Chinh emphasised that developing an IFC represents a breakthrough in institutions, policies, and resource mobilisation. An IFC, he explained, is not simply a special urban area or a cluster of financial skyscrapers, but foremost a distinct institutional design, defined by specific geographic boundaries, its own legal provisions, a specialised and professional management body, and a policy sandbox.

"This is a place where laws are designed for the future, allowing new models to operate within a controlled framework," he said.

He reiterated that only when institutional bottlenecks are removed can quality capital flows arrive, and only with adaptive infrastructure and human resources can add value be realised.

"We are not developing an IFC merely to welcome investors; we must actively lead new financial models and create space for emerging industries, driving and inspiring investment in digital assets, the green economy, the circular economy, carbon credits, digital banking, and commodity and derivatives exchanges," he stated.

At the same time, he stressed the need to strike a balance between financial freedom and sustainable financial safety. While financial freedom is vital for fostering creativity, inspiration, and resources for development, financial safety remains a fundamental, non-negotiable principle.

The PM urged central ministries and agencies to swiftly issue guiding documents for Resolution 222, enabling Ho Chi Minh City and Danang to establish management and supervisory bodies and bring their IFCs into operation. This will require close coordination with domestic and international financial institutions and drawing on global best practices.

Ministries and agencies were assigned to regularly update and refine the institutional framework to maintain a competitive, innovative mechanism that keeps pace with global trends and remains attractive to international investors.

For Ho Chi Minh City and Danang, local authorities are to allocate resources, prepare essential conditions, and foster enabling environments, covering institutions, personnel, quality of life, and the broader ecosystem. “This includes mobilising both domestic and foreign capital to develop the infrastructure necessary for the IFC’s construction and operation,” the PM added.

Localities should also proactively approach and attract strategic investors, financial institutions, banks, and other stakeholders to participate in the IFC, while expanding domestic and international partnerships in developing financial services, products, and preferential policies.

Acknowledging that building an IFC is a complex and sensitive undertaking for Vietnam with no precedent, the PM stressed that the country must not wait until all conditions are perfect. Instead, conditions should be created during implementation, capacity built along the way, lessons learned, and a development model forged through practice.

Looking ahead to 2035, PM Chinh expressed his determination for Vietnam’s IFC to rank among the world’s top 75 financial centres and the top 25 in the Asia-Pacific region.

"This will not only be a venue for financial transactions but a convergence point for capital, talent, culture, technology, law, and progressive, innovative ideas, operating under market principles, global competition, transparency, and fairness, while opening new opportunities to drive the prosperity of Vietnam, investors, stakeholders, and international partners alike," PM Chinh explained.

VIR