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Vietnam's stock market on the threshold of emergence: Golden opportunity to attract global capital flows

(Chinhphu.vn) - With high political determination, synchronous reforms and close coordination between agencies, the Vietnamese stock market aims to soon rise to the emerging market group, becoming the main capital mobilization channel for the economy. This is also an important step towards building a strong national financial system and a safe and sustainable investment environment.

Báo Chính PhủBáo Chính Phủ30/07/2025

Thị trường chứng khoán Việt Nam trước ngưỡng cửa mới nổi: Cơ hội vàng hút dòng vốn toàn cầu- Ảnh 1.

Experts discuss measures to develop Vietnam's stock market - Photo: VGP/HT

Resolute government , increasingly solid foundation

At the workshop "Upgrading the stock market, expanding capital mobilization channels for the economy " held on the afternoon of July 30 in Hanoi, Mr. Bui Hoang Hai - Vice Chairman of the State Securities Commission (SSC) - said that after 25 years of formation and development, the Vietnamese stock market has made many great strides, narrowing the gap with other markets in the region. The number of investor accounts increased from 3,000 (in 2000) to more than 10 million accounts. Market liquidity is currently at the highest level in the region, surpassing many markets that have been operating for 70-100 years.

By July 21, 2025, the stock capitalization on the three exchanges HOSE, HNX and UPCoM reached VND 8,214.67 trillion (USD 328.5 billion), up 14.5% compared to the end of the previous year, equivalent to 71.4% of GDP 2024. The bond market also grew strongly, with the listed value by the end of June 2025 reaching VND 2,503 trillion (USD 100 billion), equivalent to 21.7% of GDP.

Mr. Hai emphasized that Vietnam's securities have become an important medium- and long-term capital mobilization channel besides the banking system. Upgrading from a frontier market to an emerging market not only improves the country's image but also attracts long-term capital flows, raises standards and promotes institutional reform.

The Government has set the target of upgrading in 2025 according to the Strategy for Stock Market Development to 2030 (Decision 1726/QD-TTg). The Ministry of Finance and the State Securities Commission are urgently reviewing and amending legal documents, removing bottlenecks according to international criteria, and coordinating with ministries and branches to drastically implement solutions.

According to Mr. Hai, Vietnam currently possesses a relatively complete legal system, a dynamic business community, mature investors and professional intermediary organizations. However, to overcome the "upgrade threshold", it is necessary to continue synchronous reforms in policy, technology, infrastructure, corporate governance and investor capacity.

Upgrading is not the final destination but an important step to further integrate with the global capital market, access high-quality capital sources and affirm Vietnam as an attractive and stable investment destination. The SSC is committed to enhancing information transparency, improving governance standards, protecting investors, reforming procedures, promoting digital transformation and monitoring compliance.

An important highlight is that the KRX technology system has been officially operational since May 5, 2025, providing an integrated platform for the entire market. After three months of operation, the system has been operating stably, connecting smoothly with exchanges, payment banks and depository members.

Thị trường chứng khoán Việt Nam trước ngưỡng cửa mới nổi: Cơ hội vàng hút dòng vốn toàn cầu- Ảnh 2.

Mr. Bui Hoang Hai, Vice Chairman of the State Securities Commission (SSC) - Photo: VGP/HT

Perfecting the law, aiming at international standards

Ms. Pham Thi Thuy Linh, Head of the Securities Market Development Department (SSC), said that the Ministry of Finance has issued Circulars 68/2024/TT-BTC and 18/2025/TT-BTC to address the remaining FTSE Russell criteria, such as payment cycle (DvP) and failed transaction costs.

The NPF mechanism, which allows foreign investors to not have enough money at the time of transaction, has been implemented by 10 securities companies and 10 depository banks, recording more than 90,000 transactions with a total value of over VND20,000 billion since KRX operated.

In parallel, the STP system – information exchange between custodian banks and securities companies – will be operational from March 2025, increasing transaction efficiency. The SSC also coordinated with the State Bank to issue Circular 03/2025/TT-NHNN, simplifying procedures for opening and using VND accounts for foreign investors.

These reforms, together with the CCP mechanism and new products such as day trading, derivatives, and listed bonds, help the market approach international standards.

Mr. Pham Luu Hung, Chief Economist and Director of SSI Investment Analysis & Consulting Center, commented: Vietnam aims for double-digit growth, with huge capital needs. The opportunity to upgrade is similar to Thailand, Singapore or Malaysia, but caution is needed because many countries after upgrading do not meet expectations such as Pakistan, UAE or Greece.

To succeed, Vietnam must continue to reform after the upgrade: perfecting the market structure, expanding listings for technology enterprises and startups, developing bonds and derivatives linked to international indexes such as FTSE EMGBI, JPMorgan GBI-EM Global Diversified and Bloomberg EM Local Currency Government Index.

Mr. Hung emphasized: "A long-term roadmap towards MSCI standards is needed, ensuring 'straight lines and clear paths' to increase competitiveness and attract foreign capital."

Mr. Minh


Source: https://baochinhphu.vn/thi-truong-chung-khoan-viet-nam-truoc-nguong-cua-moi-noi-co-hoi-vang-hut-dong-von-toan-cau-102250730175251723.htm


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