Việt Dũng

The recent Autumn Economic Forum in HCM City (October 26-29) fostered intellectual exchange and discussion of ideas surrounding sustainable growth, while also showcasing the city’s economic strengths and abundance of opportunities.

Several international businesses shared their assessment of HCM City’s investment climate and potential with Việt Nam News.

Jesse Choi, regional director of Southeast Asia at Sunwah Group. — VNS Photos Việt Dũng

​​Jesse Choi, regional director of Southeast Asia at Sunwah Group

HCM City is a very vibrant city. It contributes to around 22 per cent of the whole country's GDP, plus it is strong in consumption and is pro-business.

Many foreign investors like to live in the city too, like how Thảo Điền is full of foreigners, and the former District 7 also has a lot of Koreans, Japanese and Chinese.

With the new International Financial Centre and the proposed 10-year visa-free programme for expats, which would allow investors to stay here hassle-free, I believe the city will be able to attract more FDI.

The increase in infrastructure investment, like the metro lines, will also improve access to faraway land and not just the central business areas. There is also the proposed expressway link project between HCM City and Phnom Penh, which would reduce logistic costs with Cambodia, drive up exports and lead to more investment opportunities.

Combined with the fact that the city holds the largest port complex in Việt Nam, HCM City is a gateway for exports, though I hope that real estate land prices can decrease in the future to attract more FDI.

I also see Việt Nam's energy sector having high potential for partnerships with international investors. This is because a lot of factories are coming here, and the AI sector and data centres are moving here as well, all of which require energy.

The energy sector, especially renewable energy, is very important. The government also is going to increase the energy price, and therefore it will be more attractive for investors to come in to invest in energy. 

Lira Megalli Gaddi, managing director of LuxIntel.

Lira Megalli Gaddi, managing director of LuxIntel (provides executive education and professional development programmes)

I think that globally, Việt Nam is one of the most compelling investment theses in terms of its steadily rising growth being an unprecedented case. There are few places in the world which are steadily showing this type of long-term development and potential.

If you come to HCM City and drive around the city and a little bit outside of it, the types of constructions and developments are at scale that are rarely seen globally. What the city is building here transcends the caliber of projects that we are used to seeing in the West, for example.

And I think one of the most important developments it currently has is the development of the International Financial Centre, which is designed specifically to not only attract but also to retain foreign investors, and to streamline the cash flows, the management of the funds, logistics and the regulatory environment.

The center is a massive undertaking – a very long-term project, which will take at least 10 years to just get it firmly in place, and I'm sure it will be developing even after the first decade.

This communicates to the global community that the government has the will and resources to put all the necessary infrastructure in place, and it works with a very wide network of institutions – an entire ecosystem of policymakers, central banks, private banks, private institutions, private sector, green economy and manufacturers, all to make sure that this institution operates, continues to attract foreign investors and protects the interests of companies who are operating in Việt Nam.

In terms of setting up businesses, I also think HCM City is one of the easiest jurisdictions globally to set up and operate businesses, which is a big plus for foreign investors.

We are actually looking into investing here. We would love to work with HCM City and Việt Nam in general. As a matter of fact, we would love to work with the ASEAN region by being firmly grounded in HCM City.

David Duncan, executive partner of TADI Global.

David Duncan, executive partner of TADI Global (business advisory and distribution firm)

We work with Vietnamese companies that want to expand globally. We would like to connect them with investors in the US, but also find a way to bring investors back to Việt Nam that help invest into their production facilities or in their operations. 

HCM City is a great potential partner for us because one of the things that we're starting to see here is its great development, particularly in technology companies, and I see that as a great opportunity for foreign direct investment into Việt Nam, but also for opportunities for Vietnamese companies to expand.

One of the things that the investors we work with like about HCM City is the great opportunity here, with the development of infrastructure and companies, as well as support from the city that's helping bring in foreign investors.

We see that there's a lot of interest in Việt Nam at this point, and I'd say in Southeast Asia, it's probably one of the top countries in Southeast Asia where we're starting to see investment continue to rise.HCM City's education system is also great, but more investment into this field, especially language skills, critical thinking and business skills, can be a good thing.

Bùi Đặng Duyên Mai, director of Public Affairs, Communications and Sustainability at Coca-Cola Southeast Asia’s Việt Nam Representative Office

​Bùi Đặng Duyên Mai, director of Public Affairs, Communications and Sustainability at Coca-Cola Southeast Asia’s Việt Nam Representative Office

As some people say, HCM City is like Shanghai, while Hà Nội is like Beijing.

The Coca-Cola Company office in HCM City has been around since 1994, and we find the city to be a very dynamic place.

Its leadership is very open and listens to businesses, especially after the two-tier government model came into effect. In our case, we once had our regional director visit Việt Nam and he wanted to meet up with local People’s Committee, and we were able to arrange a meeting very quickly, in only a few days.

We are committed to working with HCM City on its programmes on night economy and tourism stimulation, and we truly believe that HCM City is an abundant land for anyone who would like to invest in Việt Nam. — VNS