HCMC – Vietnam’s legislature has passed a resolution establishing international financial centers in HCMC and Danang, supported by special policies and a dedicated legal framework.
The resolution on developing international financial centers in Vietnam was approved at the National Assembly’s sitting this morning, June 27, with over 93.5% of lawmakers present voting in favor. It will take effect on September 1.
According to the resolution, Vietnam will establish an international financial center in HCMC and another in Danang, guided by a unified governance approach that emphasizes the development of specialized financial products and capitalizes on the unique advantages of each location.
In particular, the financial center in HCMC will prioritize the development of the capital market, banking sector, and money market. A regulatory sandbox will be introduced to support fintech and financial innovation, while specialized exchanges and new trading platforms are also set to be launched in the city.
In Danang, the international financial center will be oriented toward developing areas such as green finance, financial technology, and digital services.
The city will also pilot regulatory sandboxes for digital assets, cryptocurrencies, and payment activities, while seeking to attract investment funds, remittance funds, and small- and medium-sized fund management firms.
HCMC and Danang have already made preparations in terms of human resources, infrastructure, and attracting strategic investors to implement their international financial center plans.
The resolution includes a range of special policies, focusing on areas such as foreign exchange, banking, taxation, capital markets, land, labor, as well as pilot programs for fintech services and the development of specialized exchanges.
For example, investment projects in priority sectors within the international financial centers may be allocated or leased land for up to 70 years, while other sectors are limited to 50 years. Foreign professionals working in these centers will be exempt from personal income tax until the end of 2030.
The centers will also offer a wide range of products, including commodity and derivatives exchanges, carbon credits, green finance, rare metals, as well as cultural and artistic products.
Priority projects will enjoy a corporate income tax rate of 10% for 30 years, with full exemption for up to four years and a 50% reduction for the following nine years. Other projects will be subject to a 15% tax rate for 15 years, with a two-year exemption and a 50% reduction for the next four years.
Investment disputes may be resolved under Vietnamese law, through domestic or international arbitration, or via Vietnamese and foreign courts.
Vietnam aims to establish international financial centers in HCMC and Danang by 2025, with the goal of ranking among the world’s top 75 financial hubs by 2035 and reaching the top 20 by 2045.
