Assoc Prof and PhD Đinh Trọng Thịnh, a financial expert from the Academy of Finance

Development of the night-time economy is one of the orientations Government has set out and encouraged to implement, especially in the post-COVID-19 pandemic period.

Experts say that now is a good time to start developing the night-time economy. At present, the needs of tourists are not only to visit but also to experience local products and services as well as learn about local culture.

Assoc Prof and PhD Đinh Trọng Thịnh, a financial expert from the Academy of Finance, spoke to Vietnam News Agency about the potential and risks of developing the night-time economy. 

Why does Việt Nam need to develop the night-time economy?

Night time is usually considered from 6pm to about 7am of the next day. 

During the development of tourism, the development of the night-time economy becomes one of the important factors. The period from 6pm today to 7am the next day, is an empty time that visitors can completely rest to enjoy leisure activities in tourist destinations. Moreover, that period is twice as long as daytime.

We want to keep tourists staying longer in cities and tourist destinations by providing them with activities researching the geography, history, culture and human life of the locality. 

This is a great opportunity for us to improve the tourism industry and also meet the needs of tourists. Thereby, those activities will make them increase the accommodation period and average spending of tourists per capita in destinations.

If Việt Nam does not develop the night-time economy, it is wasting a goldmine that can bring in a large amount of income which is likely to equal the total revenue from tourism in recent years.

What advantages does Việt Nam have to develop the night-time economy?

Việt Nam has many advantages to develop the night-time economy. First of all, resorts, tourist regions and tourist cities are in the process of development. So, it is possible to have suitable planning of areas for developing the night-time economy that does not affect the normal life of the local people and the general economy.

Secondly, Việt Nam has beautiful landscapes and cultures of 54 ethnic groups with different characteristics. Việt Nam also has a long history of thousands of years. With many cultural and historic relics, it can bring the history and culture of Việt Nam to the local people as well as foreign visitors.

In addition, Việt Nam has a qualified workforce meeting demand of the night-time economy, so I think Việt Nam has many chances to develop the night-time economy, especially after two years of being hit by the COVID-19 pandemic.

What factors should Việt Nam focus on in implementing the development of the night-time economy?

The development of the night-time economy needs to be concentrated in big cities, especially in the cities attracting many tourists. That is the first and most important factor. Because Việt Nam's development of the night-time economy would be based on experiences in developing these night-time economic centers. 

Initially, the night-time economic development programme is mainly focused on localities with large crowds of tourists and local people and the potential to profit from the investment in developing the night-time economy. When there is efficiency in the night-time economy programme, it will change the thinking of authorities about this kind of economy.

Reality shows that Việt Nam's night-time economy develops quite slowly, not attracting domestic and foreign tourists. What is the main reason for this problem?

The first reason is that the thinking of the State-management agencies does not yet change to develop the night-time economy. Therefore, they are not interested in this kind of economy and do not yet have policies and mechanisms to encourage this development.

The second is that in the night economic development, besides planning separate areas not affecting the residential community, it must also pay attention to goods of the night-time economy. 

In the past few years, Việt Nam has mainly developed night markets, mainly selling souvenir items that may not be made by local people, or food items. It's creating boredom and visitors feel no need to go to other localities' night markets.

Việt Nam must diversify products for the night-time economy, including shops selling cultural products of regions. The visitors learn about the culture of the regions nationwide via those products.

What are risks of developing a night-time economy and how should Việt Nam cope with them?

First of all, the risk of the night-time economy is very large, including illegal business as well as social evils and crimes that usually happen at night. 

Việt Nam absolutely has to develop the night-time economy in a methodical manner to minimise illegal business and have regulations on managing the night-time economic activities. 

The night-time economy also needs the operation of a banking system to provide services for money exchange and other needs of tourists, and a better security system to ensure the safety of tourists and prevent crime. At that time, the tourists can rest assured to join leisure activities and other activities of the night-time economy.

What does Việt Nam need to do to develop the night economy?

The first thing is to change the mindset of the leadership of the sectors and localities because if they keep the mindset that the tourist destinations have to close every 11pm, there are no business activities after 11pm.

Việt Nam must have planning of night-time economic zones in tourist cities and big cities to have the least impact on the residential community.

We must diversify products for the night-time economy according to regional characteristics and have specific programmes to attract more tourists.

It needs to connect night-time economic development programmes between localities to enhance efficiency in the development of the night-time economy. VNS