Da Nang eyes developing next-generation international financial center

The forum brings together domestic and international experts to discuss practical solutions for developing an International Financial Center (IFC) in Vietnam, with Da Nang positioned as a next-generation model.

Speaking at the opening ceremony, Standing Vice Chairman of the Da Nang People's Committee Ho Ky Minh emphasized that the forum was held at a time when Vietnam is actively implementing policies to integrate more deeply into the global financial network.

For Da Nang, developing an International Financial Center is not merely about creating a financial hub but about establishing a new institutional framework and a platform for piloting innovative financial models.

This, he said, would enable the city to access international standards as well as promote innovation, digital transformation and green economic growth.

In the initial phase, the city will prioritize the development of five key financial products and services, including real-world asset tokenization, carbon credits and carbon trading markets, investment funds and fund management companies, commodity exchanges, bonds and medium- and long-term capital mobilization instruments.

These sectors are closely interconnected, forming a modern financial ecosystem capable of helping businesses raise capital more efficiently, accelerating green transition projects, supporting infrastructure, trade and logistics development, and opening up new investment channels for the Vietnamese market.

According to Vice Chairman Minh, Da Nang aims to become a gateway connecting Vietnam's financial sector with emerging global trends. The city also serves as a bridge for international financial institutions, investment funds and global enterprises to access the Vietnamese market more easily.

Running until July 10, the Vietnam Finance Forum features discussion sessions focusing on positioning Vietnam within the global financial network; developing venture capital (VC), private equity (PE), fintech, blockchain; and supporting legal and auditing services.

Transparent legal framework key to building International Financial Center

International experts at the forum underscored that transparent institutions, modern governance and a stable regulatory framework are essential to the successful development of the Vietnam International Financial Centre (VIFC).

Mr. Jochen Biedermann, Managing Director of the World Alliance of International Financial Centers (WAIFC), said there is no universal blueprint for building an international financial center.

Instead of pursuing global rankings, each country should develop a model tailored to its own strengths, conditions and development objectives, he added.

He noted that as artificial intelligence (AI) and digital assets reshape the global financial landscape, financial centres must develop competitive regulatory frameworks and bolster cybersecurity.

Sharing a similar view, Mr. Rich Mc Clellan, Chief Executive Officer of the UK-supported Vietnam International Financial Center Development Project (VIFC-UK), said Vietnam is well positioned to develop an international financial center thanks to its stable business environment and shifting global capital flows.

He stated that the goal of the VIFC is not to compete directly with Singapore or Dubai, but to establish a distinctive model that serves as a gateway for attracting international resources.

Drawing on international experience, Mr. Jeffrey Swiger, Director of the Dubai Investment Fund Advisory and Project Management Company and a member of the VIFC Advisory Council, emphasized that effective governance and a transparent legal framework are key factors for building investor confidence.

Meanwhile, Mr. Jens Lottner, Chief Executive Officer of Techcombank, a co-organizer of the forum, proposed developing a transparent and flexible legal framework and introducing regulatory sandbox mechanisms for emerging sectors such as digital assets and financial technology (fintech).

Global-standard institutional framework needed to attract international capital

During subsequent discussions on the same day, international experts agreed that Vietnam has the potential to become a new destination for global capital.

However, they also noted that the VIFC required a transparent and flexible regulatory framework capable of meeting evolving market demands.

Sharing international experience, Mr. Stephen Glynn, a management and cross-border regulatory expert and former official of the Australian Securities and Investments Commission (ASIC), stressed the need for Vietnam to establish a comprehensive legal ecosystem.

Meanwhile, Mr. Kevin Iwanaga, Director of Strategy and Investment Division under the Da Nang International Financial Center Project Management Board, underscored that Vietnam should leverage its unique competitive advantages rather than compete directly with Singapore or Hong Kong (China).

At a discussion session titled “What is needed to attract US$1 billion to Vietnam?”, Mr. Pankaj Chauhan, Deputy Director for Infrastructure Corporates and Project Finance at Fitch Ratings, said a stable regulatory environment and effective investor protection mechanisms are fundamental to attracting large-scale investment.

He suggested that Vietnam could learn from public-private partnership (PPP) models used in countries such as India to finance infrastructure development.

An ASEAN equity strategist from JPMorgan Chase also said Vietnam should develop a comprehensive financial ecosystem supported by international intermediary institutions. To attract long-term capital, the market needs greater depth, a broader range of financial products and a stronger role for the VIFC.

Speakers concluded that the VIFC has the potential to become a major driver of international capital inflows by offering globally aligned institutions and pioneering new financial models.

Translated by MAI DUNG