The Future of ASEAN: Viet Nam perspective

ASEAN is one of the fastest growing regions in the world today. It is expected to grow by 5.3% in 2018, led by emerging economies such as Viet Nam, which is projected to grow by 6.9% in 2018. Once among the smaller economies in the region, Viet Nam has emerged as a country poised for economic modernisation through its active participation in competitive, export-oriented and service industries. In this publication, we explore what makes this country an attractive investment destination and key sectors of opportunity. We also discuss challenges facing the country and steps to address them.

With double digit credit growth, rising middle income and digital adoption, Viet Nam holds great potential for the financial services sector. The country’s low financial market penetration presents both untapped market opportunities as well as distinct challenges when compared to its ASEAN peers.

Viet Nam’s strong consumer confidence and rising household income levels have contributed to an overall increase in consumer spending. This has given rise to regional sourcing and manufacturing of goods, as well as expanding e-commerce activities.

Boosting infrastructure development is vital to Viet Nam’s ability to maintain its competitiveness. The government is speeding up plans to attract more private investment in this area, especially for transport infrastructure.