Positioning as an international financial center: Ho Chi Minh City is the 'liquidity locomotive', Da Nang is the 'extended arm'

(Chinhphu.vn) - At the Vietnam Financial Forum 2025, held on the morning of August 28 in Da Nang, experts made important recommendations to build an international financial center in Vietnam.

Deputy Minister of Finance Nguyen Thi Bich Ngoc speaks at the forum - Photo: VGP/MT

Ho Chi Minh City is the center of liquidity, leading capital sources.

Deputy Minister of Finance Nguyen Thi Bich Ngoc said that the National Assembly's resolution established the model of developing an international financial center "one center - two destinations", in which Ho Chi Minh City plays the role of a large-scale focal point, while Da Nang takes on a specialized position with the spirit of dividing roles to resonate, avoid copying and not compete directly.

According to this orientation, Ho Chi Minh City will focus on attracting extensive capital flows, such as stocks, bonds, investment banks, and asset management funds; while Da Nang will develop niche markets based on the advantages of seaports, international airports, the East-West economic corridor, and coastal industry.

This positioning allows Vietnam to operate a multi-point financial center, in which Ho Chi Minh City is the "liquidity locomotive" and Da Nang is the flexible "extended arm", closely following real trade and industry.

According to Deputy Minister Nguyen Thi Bich Ngoc, a financial ecosystem is only sustainable when it is associated with the flow of goods, services and real value, so the Da Nang Financial Center must go hand in hand with the free trade zone, applying specific institutions with priorities such as fast customs clearance procedures, green logistics, bonded warehouses and exceptional risk control mechanisms. When the flow of goods is transparent, financial services such as trade finance, marine insurance, and hedging of exchange rate and interest rate risks will form naturally.

Da Nang and domestic and foreign partners exchanged cooperation agreements at the forum - Photo: VGP/MT

To create a different value compared to Ho Chi Minh City, Da Nang needs to establish a financial product portfolio revolving around 4 pillars, which are: Finance - logistics - marine insurance with trade finance services, credit, hull - cargo insurance, regional reinsurance and supply chain disruption risk prevention; commodity derivatives transactions associated with agriculture - aquatic products, metals and minerals in the Central - Central Highlands, serving the production chain and real clearing;

Green finance with green bonds, carbon credits, agricultural and aquaculture climate risk insurance with ESG standards, turning climate challenges into long-term capital flows; cross-border financial services for the East-West corridor with electronic identification, green bills of lading, international payments and risk monitoring according to global standards.

These four pillars will create a flow of goods, data, capital and insurance, forming a closed value chain for the financial center, placing Da Nang in the dynamic cluster of the Central - North Central region, from Thanh Hoa to Quang Ngai, where the financial services market is large enough thanks to the infrastructure of ports, airports, roads and interconnected economic corridors.

Dr. Jochen Biedermann, Executive Director of the International Alliance of Financial Centers - Photo: VGP/MT

Promoting internal strength, strengthening international cooperation to build Vietnam's international financial market

Dr. Jochen Biedermann, Executive Director of the International Alliance of IT Centers, said that in addition to centralized coordination and a cooperative approach between Da Nang and Ho Chi Minh City, it is necessary to maintain healthy competition between the two cities. Vietnam, with its young and dynamic population, is fully capable of developing many IT centers in parallel. International practice shows that many countries such as China, the United States, the UAE, Japan and Australia have successfully built specialized IT centers, in which medium and small-sized cities often bring innovative ideas, reasonable costs and flexible working environments.

According to Mr. Biedermann, Vietnam needs capital to finance growth, but developing domestic resources is the decisive factor in building a sustainable financial ecosystem. Experience from China shows that although foreign capital initially flows through Hong Kong (China), the biggest driving force of the financial system comes from domestic institutions such as Tencent, Ant or the domestic banking system - forces that contribute to promoting financial inclusion to rural areas.

For Vietnam, popularizing digital financial services, from money transfers, savings to lending and investment... will be a driving force for the economy, while opening up opportunities for domestic digital financial businesses to reach out to the international market, following the general trend of many Asian countries.

He also noted that international connectivity plays an important role. While Ho Chi Minh City has done well in this area, Da Nang needs to continue to improve to reach global standards, as it is currently only at regional connectivity. The Government's acceleration of the North-South high-speed railway project is considered to create a strategic advantage for the economic centers in the South.

International experts at the forum - Photo: VGP/MT

From another perspective, Mr. Damian Hickey, Director of Southeast Asia, Tony Blair Institute for Global Change, said that to maximize effectiveness, Vietnam's international financial management agency needs to identify strategic partners, mobilize the participation of the private sector, ensure inter-sectoral coordination and convey consistent messages to the international community.

By doing this, Vietnam will not only build a competitive financial market, but also position the international financial market as a reliable gateway for cross-border capital flows, innovation and sustainable growth.

Minh Trang

Source: https://baochinhphu.vn/dinh-vi-trung-tam-tai-chinh-quoc-te-tphcm-la-dau-tau-thanh-khoan-da-nang-la-canh-tay-noi-dai-102250828154347272.htm