Preparations for the IFC intense in Ho Chi Minh City and Da Nang, overseen by the Prime Minister
Vietnam is embarking on an ambitious journey to establish an International Financial Centre (IFC), with a focus on transforming the cities of Ho Chi Minh City and Da Nang into global financial hubs. The National Assembly's Resolution No. 222/2025/QH15, effective from September 1, 2025, lays the foundation for this ambitious project.
The IFC, spanning across Saì Gòn, Bến Thành, and Thủ Thiêm wards, will be a vibrant, dual-location financial centre, offering a broad range of financial products and services, including equities, bonds, fund certificates, financial derivatives, fund management, insurance and reinsurance, banking and foreign exchange, green finance, carbon credits, fintech, and digital assets[1][2][3].
Prime Minister Pham Minh Chinch chaired a conference on August 2 in Ho Chi Minh City to discuss the IFC's development. At the conference, HCM City and Đà Nẵng presented their own action plans for the IFC[7]. The PM emphasized the need for close collaboration between the two cities and other financial organizations, and regular updates to the institutional framework for the IFC[8].
The IFC's development goals focus on transforming Ho Chi Minh City into a hub for capital markets, banking, and monetary markets, while Da Nang City will specialize in green finance, fintech, and digital services[3]. To foster a competitive environment, the IFC will offer attractive incentives such as a 10% corporate income tax (CIT) rate for 30 years with partial exemptions for priority projects and a 15% CIT rate for 15 years with partial exemptions for non-priority projects. Foreign professionals working in the IFC will also be exempt from personal income tax until 2030[3].
The steering committee, led by the PM, has been formed to help the Government direct strategies and development orientation, and ensure smooth operation of the IFC[5]. The committee's focus is on building a specialized legal framework, synchronously developing infrastructure and essential services, building a modern financial ecosystem, and establishing an effective coordination and supervision mechanism for the IFC[1].
The IFC is expected to facilitate digital assets, carbon credit, digital banking, commodities, and derivatives exchanges[6]. The PM has stated that Vietnam's IFC will be among the world's 75 financial centres by the end of 2035[2]. The PM has also instructed ministries and agencies to quickly issue documents to guide the implementation of the NA's Resolution[9].
The establishment of an IFC is seen as crucial for attracting foreign investment, technology, and a high-quality workforce to boost Vietnam's economic development and competitiveness. Significant foreign interest has been noted, including landmark investments and proposed developments in the IFC zones[4].
The IFC will operate with unified operation, management, and supervision, with a regulatory sandbox allowing fintech and crypto asset companies to experiment with new technologies and business models exempt from certain legal compliance and liabilities during trials[2]. The Resolution sets interim reviews for 2030 and 2034 as precursors to a dedicated law on IFCs[1][2].
In summary, Vietnam’s IFC under Resolution No. 222/2025/QH15 aims to become a dynamic, dual-location financial center with advanced regulatory frameworks, broad product offerings, attractive incentives, and a focus on innovation and green finance to elevate the country's position in the global financial landscape[1][2][3][4]. The PM has commended the support of businesses and international friends and called for new policies for the IFC's development to be disruptive and preferential. The conference, attended by top government and city officials, international experts, and representatives from different countries and international financial organizations, marked a significant step forward in Vietnam's journey towards becoming a global financial powerhouse.
References: 1. Vietnam News 2. Vietnam Investment Review 3. Vietnam Insider 4. Nikkei Asia 5. Vietnam Plus 6. Vietnam Investment Review 7. Vietnam Insider 8. Vietnam Plus 9. Vietnam News
- The International Financial Centre (IFC) in Vietnam, encompassing Saì Gòn, Bến Thành, and Thủ Thiêm wards, aims to be a global financial hub, offering diverse financial products and services such as equities, bonds, fintech, digital assets, and green finance.
- The Vietnamese government, led by Prime Minister Pham Minh Chinch, is emphasizing close collaborations between the two IFC cities (Ho Chi Minh City and Da Nang) and financial organizations, with regular updates to the institutional framework for the IFC.
- To propel a competitive environment, the IFC will offer incentives like a reduced corporate income tax rate and personal income tax exemptions for foreign professionals working within the IFC.
- The IFC's regulatory sandbox will allow fintech and crypto asset companies to experiment with new technologies and business models, exempt from certain legal compliance and liabilities during trials.
- By the end of 2035, Prime Minister Chinch targets Vietnam's IFC to be among the world's 75 financial centres.
- The government's focus on green finance, fintech, and digital services within the IFC is seen as essential for attracting foreign investment, technology, and a high-quality workforce to bolster Vietnam's economic development and competitiveness.
