HCM City is now a regional specialised financial centre (Photo: VNA)

London (VNA) – Vietnam does not need to choose between a specialised or a comprehensive regional financial centre but can instead adopt a flexible approach to seize opportunities, said Dr. Ho Quoc Tuan, Senior Lecturer in Finance and Accounting at the UK’s University of Bristol.

Talking with the Vietnam News Agency’s reporter based in London ahead of Permanent Deputy Prime Minister Nguyen Hoa Binh’s visit to the UK from March 16-20, Tuan explained that financial centres traditionally split two paths: specialisation or diversification.

A specialised approach could position Vietnam as an ASEAN niche player, like Tel Aviv or Mumbai, focusing on select services, or as a global player akin to Dubai, Hong Kong, or Luxembourg. Alternatively, a diversified model could see Vietnam begin locally, like Lisbon or Atlanta, then grow to rival Bangkok or even London and New York.

Even if Vietnam aims to develop into a comprehensive financial centre, it can adopt Dubai’s specialised model to accelerate fintech services, particularly in AI/Machine Learning and digital assets – areas where Vietnam excels in training and application.

He cautioned, however, that Ho Chi Minh City and Da Nang should avoid “stepping on each other’s toes” in choosing areas of specialised development, adding that one could lead on fintech, and the other on AI.

Tuan also highlighted the importance of human capital, one of the five important factors to successfully build a financial centre, citing the Global Financial Centres Index, which ranks business environment, human capital, infrastructure, market development, and reputation as the key drivers of success.

At SOWATCO port in Thu Duc city. (Photo: VNA)

Hanoi – Vietnam has set an ambitious export target of 454 billion USD for 2025, a 12 per cent year-on-year increase, despite recent signs of deceleration in exports due to global economic pressures.

Many experts believe that achieving this goal will require decisive actions from regulatory bodies and extraordinary efforts from businesses to overcome obstacles.

According to data from the Ministries of Finance and Industry and Trade, Vietnam exported 65.2 billion USD worth of products in January-February, a 9.9 per cent increase compared to the same period last year. Meanwhile, imports totaled 62.9 billion USD, rising 16 per cent, resulting in a trade surplus of 235 million USD.

Nguyen Anh Son, Director General of the Ministry of Industry and Trade (MoIT)’s Agency of Foreign Trade, identified key challenges to Vietnam’s exports, including its dependence on major markets like the US, the EU, and China. This reliance increases risks for businesses and makes the country vulnerable to global economic and political fluctuations.

Additionally, Vietnamese exports still fall short of international standards, making them less competitive as consumers increasingly demand quality and sustainability. Son also pointed out infrastructure constraints, particularly the discordant investment in seaports and transport systems, which result in high shipping costs and extended delivery times.

According to Son, insufficient market intelligence has left many companies struggling with production planning. Moreover, trade tensions between Vietnam’s largest trading partners could present both opportunities and challenges for exporters.

Do Ngoc Hung, head of the Vietnam Trade Office in the US, stated that these trade tensions could benefit Vietnam if the country manages to capture market share, but cautioned that businesses must navigate carefully. Enterprises must fully cooperate with US authorities during trade investigations and remain cautious with raw materials from countries subject to US tariffs to avoid allegations of origin fraud, Hung said.

Meanwhile, Vietnamese trade counselor in China Nong Duc Lai noted that the US-China trade tensions could shift investment flows to Vietnam, creating greater opportunities for Vietnamese businesses to integrate into global production chains.

To mitigate market impacts, Lai recommended that Vietnamese businesses closely monitor developments and policies from major trading partners, make timely forecasts and responses, and develop contingency plans for scenarios such as increased tariffs or supply chain disruptions. He also suggested diversifying export markets and enhancing product competitiveness and quality to expand market reach.

The MoIT has issued a directive outlining several solutions to develop markets, promote exports, and manage imports this year. The ministry advised businesses to closely track market developments, while Vietnamese trade offices abroad will continue updating industry associations on policy changes so businesses can adjust production plans and seek new orders accordingly. Efforts will also focus on exploring new markets, such as the Middle East and Halal markets.

Experts emphasised the importance of capitalising on free trade agreements, accelerating negotiations for new and upgraded pacts, and ensuring the domestic implementation of international commitments. Additionally, training on rules of origin for enterprises, along with efforts to combat origin fraud, improve logistics services, and promote digitalisation to streamline business operations, should be prioritised.