Hanoi (VNA) – The global economy continues to grapple with heightened geopolitical tensions, ongoing conflicts and policy uncertainty, which have disrupted supply chains, affected asset prices and fueled inflation. Growth remains slow and uneven across regions, while persistent inflation has limited the ability of central banks to ease monetary policy.
Despite these global headwinds, Vietnam continues to demonstrate remarkable resilience, according to Tim Evans, CEO of HSBC Vietnam.
The economy expanded by 8.2% in the third quarter, marking the second-highest quarterly growth in over a decade – a testament to the country’s solid momentum. Vietnam aims to become a high-income, developed nation by 2045, and to achieve this, it must harness its internal strengths alongside foreign investment, he said.
Building growth from within
To sustain growth, Evans said, Vietnam is focusing on four strategic pillars: technology and digital innovation, international integration, legal reform, and private sector development. These initiatives aim to transform the economy from one reliant on low-cost labour and resource extraction to one driven by productivity, quality, and high value-added industries.
The government is prioritising digital transformation as a key driver of competitiveness and an essential tool for overcoming the “middle-income trap”. Vietnam aims for its digital economy to contribute 30% of GDP by 2030, unleashing creativity and boosting productivity across sectors.
The country is accelerating international integration to attract investment, expand markets, and strengthen its global standing, he stated. Consolidating the legal framework and ensuring a transparent business environment will help build investor confidence. At the same time, institutional and legal reforms are being pursued to address administrative bottlenecks, enabling businesses to operate more efficiently.
Policies to develop the private sector, which is regarded as a key engine of economic growth, remains a government priority. The government is implementing reforms to create favourable conditions for private enterprises development by improving access to capital and land, encouraging innovation and the adoption of new technologies.
Private sector at the forefront
According to Evans, Vietnam’s private sector has made remarkable strides since the doi moi (Renewal) period, contributing significantly to national growth. It now accounts for around 82% of the total workforce, generating millions of jobs and improving household incomes. Private enterprises also drive innovation, productivity, and economic efficiency.
Private firms contribute substantially to GDP and tax revenues, which fund infrastructure development and public services. The sector also attracts capital from internal profits and shareholders, enabling business expansion. To maintain momentum, he noted, the government must foster a transparent legal environment, protect property rights, and ensure effective contract enforcement.
To unlock its full potential, Vietnam should continue to enhance its investment climate and promote innovation-driven growth. The government can support businesses by offering incentives for research and development (R&D) and encouraging digital transformation. A key example is Resolution 57, which promotes high-tech industries such as artificial intelligence (AI), green technology and digitalisation.
Capital access and global integration
Access to capital, Evans stressed, is crucial for Vietnamese enterprises seeking to scale up and grow sustainably. The international financial system offers abundant opportunities through lower borrowing costs and a wide range of financial instruments. By accessing global capital markets, Vietnamese businesses can accelerate their expansion and strengthen global integration.
Over 20% of HSBC Vietnam’s clients now qualify for international market access and are leveraging this to scale up operations. The rising inflow of investment funds into Vietnam also presents new prospects for domestic enterprises, Evans noted.
Vietnam’s anticipated upgrade to Secondary Emerging Market status by FTSE Russell — expected in September 2026 — is projected to attract between 1.5–3 billion USD from passive funds and 1.9–7.4 billion USD from active funds. This marks a strong vote of confidence in Vietnam’s economy and its business potential.
Vietnam’s private sector stands at a pivotal moment, with greater opportunities than ever before. Evans urged both the government and businesses to seize these prospects to expand not only domestically, but also globally.
With new policies and mechanisms being implemented, Vietnam is well-positioned to become an attractive destination for investors and international enterprises, he said./.
