Int’l financial centre ensures Vietnam’s sustainable financial growth: Experts

Germany was the final stopover of Binh’s tour of three European countries, aimed at gathering experience for Vietnam’s plans to establish financial centres in the southern largest economic hub of Ho Chi Minh City and central Da Nang city.

Speaking to the Vietnam News Agency (VNA)'s resident correspondents in Berlin, the financial experts expressed their willingness to share knowledge, expertise, and support Vietnam’s access to vital capital, while as assisting Vietnam in training and recruitment of highly skilled financial professionals to ensure the swift and effective development of the financial centres. Additionally, they committed to connecting Vietnamese businesses with German and international investors.

Hubertus Vaeth, Managing Director of the Frankfurt Main Finance, described the establishment of the financial centres as a potential catalyst for significant economic growth and prosperity for Vietnam. Vaeth highlighted that just last week, Ho Chi Minh City was ranked second in the Oliver Wyman Future Cities Index. To fully capitalise on the city’s potential, establishing a financial centre is seen as a natural and timely step.

The expert also pointed out the strategic value of developing a second financial centre in Da Nang, which will help attract a broader range of international investors, thus expanding the economic benefits across the country.

With over 350 years of experience, Frankfurt remains a leading financial centre in the European Union (EU). Given the growing economic and trade relations between Vietnam and Germany, the development of deeper financial ties is both logical and essential, he stated. Currently, VietinBank is runding a branch in Germany, and five major German financial institutions are operating in Vietnam, laying the groundwork for further bilateral financial cooperation, Vaeth noted.

Jochen Biedermann, Managing Director of the World Alliance of International Financial Centres (WAIFC), expressed his support for Vietnam’s forward-looking approach. He underlined the importance of strengthening financial resources to fuel Vietnam’s future growth.

Permanent Deputy Prime Minister Nguyen Hoa Binh (standing, second, right) and representatives of German businesses witness the signing of a Memorandum of Understanding between the Association of Young Vietnamese Entrepreneurs in Europe and the German Association of Small and Medium-Sized Enterprises. (Photo: VNA)

According to Biedermann, the building of not just one, but a robust financial centre, is a step in the right direction. He expressed his confidence that with a solid financial system, Vietnam could become a global leader in exports.

Meanwhile, Jörn Siegle, Vice President of the FrankfurtRheinMain GmbH, noted that Vietnam’s strong recent economic growth makes the establishment of financial centres both viable and necessary. Citing the Republic of Korea’s transformation into a financial powerhouse, Siegle held that Vietnam has a clear opportunity, especially if it can leverage lessons from other global financial centres to develop a tailored strategy.

Siegle also emphasised that the successful development of a financial centre requires time and involves not only external factors but also the active participation of investors. Creating an attractive investment environment and building a well-connected financial ecosystem are essential for success. With a systematic approach and clear strategy, the financial centre will undoubtedly grow and thrive, he added.

Sören Eversmeier, co-founder of Finance Loop at TechQuartier, highlighted the timely opportunity for Vietnam to develop its fintech sector. With the increasing demand for collaboration between traditional financial institutions and innovative fintech companies, a financial centre would provide a key platform for driving innovation and stimulating long-term economic growth.

The expert affirmed that TechQuartier not only supports fintech startups in Frankfurt and across Germany but also maintains an international network that connects with the entrepreneurial ecosystem in Vietnam. The company regularly invites fintech businesses and startups to Frankfurt to establish connections with local partners and expand their operations, he said.