New growth momentum from the International Financial Centre

With numerous groundbreaking mechanisms and policies on taxation, land use, human resources, and financial services, the resolution not only provides a favourable legal corridor but also serves as a strong political commitment to elevate Viet Nam's position on the global financial map.

However, to turn this vision into reality, both the city and central government agencies must follow a focused and decisive implementation roadmap.

Urgent need for rapid implementation

According to the city’s report submitted to the Government, the planned area for the IFC covers a total of 783 hectares, including most of Saigon Ward (formerly District 1) and the Thu Thiem Urban Area. Of this, 719 hectares are land and 64 hectares are on the Saigon River. The initial phase will focus on developing a 9.2-hectare core zone in Thu Thiem, designated to house the headquarters of regulatory, supervisory, and financial adjudication agencies.

The total preliminary investment for the IFC project is approximately 172 trillion VND (around 7 billion USD), of which the core zone requires 16 trillion VND for implementation in the first two to three years. About 2 trillion VND will come from the state budget to construct facilities for regulatory bodies, with the remainder mobilized from domestic and international investors. The city is finalising the proposal for submission to the relevant authorities for approval.

In parallel with infrastructure and institutional preparations, the city is also developing a human resources strategy for the IFC, aiming to build a workforce capable of managing and operating modern financial institutions. Five core training programmes are being drafted for rollout in 2025. Additionally, officials have been sent to study models in the UK, Hong Kong (China), mainland China, and Kazakhstan.

Dr Tran Hoang Ngan, member of the National Assembly’s Economic-Financial Committee and Assistant to the Secretary of the Ho Chi Minh City Party Committee, stated that the city has proactively engaged with both domestic and international financial organisations to attract high-quality human resources. Some public sector officials have already been selected and sent for training. However, he stressed the need to further intensify recruitment, training, and talent attraction efforts, supported by appropriate, effective, and sustainable policies.

Establishing a distinct governance model

Many economic experts argue that a dedicated IFC Management Authority should be established as soon as possible, operating under a special model with clear authority and independence from the traditional administrative apparatus. This body would act as the central coordinator for planning, licensing, supervision, and overall management of the IFC, similar to how financial special zones are governed in Dubai, Shanghai, or Qatar.

Associate Professor Dr Tran Hoang Ngan also proposed that the government promptly issue necessary legal documents, including the decision to establish the Viet Nam IFC in Ho Chi Minh City, the formation of a governing board, a financial arbitration agency, a specialised financial court, and supervisory bodies for financial market operations.

With a projected investment of up to 7 billion USD, capital mobilisation poses one of the greatest challenges. While the figure is substantial, it is not unattainable if the city adopts a transparent and intelligent strategy and takes full advantage of the special mechanisms granted by the NA. A synchronised activation of funding pillars is required. The first is public investment from the state budget, which will serve as “seed capital” during the initial phase. This includes funding from both the central and local government budgets. Additionally, the city must mobilise capital from socialised resources via public-private partnerships (PPP); strategic investors through concessions or equity participation; public assets and urban land funds; domestic and international capital markets through municipal bonds; revenue generated by the IFC during its operational phase; venture capital and tech-financing funds; and development finance sources such as ODA and concessional loans.

Associate Professor Dr Tran Huy Hoang, Vice President of Van Hien University, suggested that instead of seeking investment for the entire project at once, the city should break down the IFC into smaller investment components that are either profit-generating or clearly serve public purposes. This segmentation would help clarify target investors and facilitate PPP or FDI arrangements aligned with specific objectives. He also recommended that the city strengthen capital mobilisation through traditional financial channels such as stocks, corporate bonds, commercial banks, and insurance companies, while also developing modern financial instruments like specialised infrastructure investment funds and green bonds.

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