How should Ho Chi Minh City and Da Nang clean their nests to attract "eagles"?

(Dan Tri) - The Deputy Minister of Planning and Investment said that the establishment of an international financial center will create the premise to bring Vietnam into a new era, an era of national growth.

Why does Vietnam need an international financial center? On the afternoon of January 16, the Ministry of Planning and Investment coordinated with the People's Committee of Da Nang City to organize a workshop on Developing an International Financial Center in Vietnam. Speaking at the workshop, Deputy Minister of Planning and Investment Do Thanh Trung said that the construction of a financial center is not a new issue in the world but is unprecedented in Vietnam.

Mr. Do Thanh Trung, Deputy Minister of Planning and Investment (Photo: BTC).

Therefore, this task requires joint efforts, participation, exchange and proposals from ministries, branches, localities and especially international experts, organizations and investors. According to Mr. Trung, Vietnam has its own special advantages such as a rapidly growing economy, abundant human resources, increasing quality, and rapidly developing and perfecting infrastructure. If Vietnam takes advantage of this opportunity, it will receive financial resources shifting from other major international financial centers in the region as well as internationally to break through and establish a new position. In addition, Vietnam can also create a new qualitative shift, helping the financial market become healthy and effective, thereby promoting sustainable national economic development, bringing Vietnam deeper into the global economic value chain, enhancing the role, position and prestige of the country in the international arena. "The establishment of an international financial center will create a premise for the country to enter a new era, an era of wealth and prosperity, an era of the rise of the Vietnamese people," the Deputy Minister emphasized. As for Da Nang, this city is converging the factors of "heaven, time, place, and people" when it has full advantages, potential, development requirements and political determination for the construction of a regional financial center. "Implementing the roadmap to build Da Nang City into a regional financial center according to the policy of the Party and State is necessary to develop international financial services and potential ancillary services," Mr. Trung assessed. From the perspective of an international expert, Mr. Andy Khoo, General Director of Terne Holdings, said that the development of an international financial center in Da Nang will complement the broader financial picture of Vietnam.

Mr. Andy Khoo, CEO of Terne Holdings (Photo: BTC).

In the North, Hanoi is the main center for policy making and state management. In the South, Ho Chi Minh City is a key financial center, acting as a global gateway for capital markets and corporate finance. Da Nang City appears as a strategic bridge between these two economic locomotives, Mr. Andy commented. With its location in the Central region, Da Nang ensures nationwide financial access and reduces over-reliance on a single financial center. In addition, unlike the financial center in Ho Chi Minh City - focusing on capital markets, the Da Nang international financial center can specialize in green finance, trade facilitation, and fintech innovation, in line with global market trends. How will Ho Chi Minh City and Da Nang attract investors? Mr. Rich McClellan, Country Director, Tony Blair Institute in Vietnam, said the success of the international financial center will depend on its ability to attract global financial institutions and investors to establish a presence here. Attracting investment also means that policy makers should enhance the competitiveness of financial centers to build investor confidence and promote a favorable business environment. The expert said that there are three main factors: institutional design, investment incentives and strategic communication - important factors that need to be effectively implemented in the early stages of developing an international financial center. To build investor confidence, he recommended that the Government establish autonomous financial center management agencies in both Ho Chi Minh City and Da Nang. These units are legally, financially and operationally independent to carry out clearly defined functions and tasks. This agency acts as an investment-related approval center, streamlining the decision-making process and improving operational efficiency. This approach will be a clear and convincing message to investors that the international financial center operates effectively and is designed to meet investor needs. Second, regulators need to strike the right balance between regulatory and business development roles to actively attract and facilitate investors. This dual role is crucial in promoting the development of financial centres and ensuring that investors find a supportive environment that meets their needs. While licensing and regulation remain the core functions, the mandate of the Authority should be expanded to include strategic leadership in communications, master planning and investment promotion. In addition, competitive and targeted investment incentives will also play an important role in attracting global investors. These centres have successfully combined tax incentives, financial support, improved regulatory processes and operating cost subsidies to reduce barriers to entry, enhance competitiveness and promote sustainable financial performance. The government also needs to make efforts to carry out strategic communication activities to raise awareness of the international financial center in Vietnam among investors, and strategic communication work needs to begin soon. Regarding Da Nang City, Standing Vice Chairman of the Da Nang People's Committee Ho Ky Minh said that investors and international financial investment funds from the US, Singapore, the Middle East, and Switzerland are very interested in developing a financial center in Da Nang in the direction of innovation, green finance, financial technology, and trade finance.

Mr. Ho Ky Minh, Permanent Vice Chairman of Da Nang City People's Committee (Photo: Organizing Committee).

Regarding the general model, the city proposes to develop an ecosystem of a multi-component financial center, focusing on 3 groups of services. The first is to provide international financial services such as payment services, international trade, risk management and foreign exchange transactions, green financial services, including financial services associated with the development of the Da Nang Free Trade Zone. The second is fintech and techfin services such as providing software, application platforms to perform payment services, crypto asset transactions, innovative solutions in the financial sector based on artificial intelligence, big data, cloud computing, blockchain, etc. At the same time, the center will provide incubation space for startups, fintech companies seeking growth, innovation and internationalization. Third are investment support services, business development and utility services such as auditing, accounting, legal services, tax consulting, customs, resort services, conferences, casinos, leasing, real estate valuation and related assets to create a diverse ecosystem, developing Da Nang towards the direction of a world financial and entertainment center.

Dantri.com.vn

Source: https://dantri.com.vn/kinh-doanh/tphcm-da-nang-can-don-to-the-nao-de-hut-dai-bang-20250116183754169.htm