What Is the VIFC? Vietnam's International Financial Centre Explained
The Vietnam International Financial Centre — commonly referred to as the VIFC — is Vietnam's most ambitious financial infrastructure project. It aims to create an internationally competitive financial hub that can attract global banks, asset managers, fintech firms, and professional services providers to operate under a regulatory framework designed to international standards.
This guide provides a comprehensive overview of the VIFC: what it is, how it is structured, why Vietnam is building it, and what it means for international professionals and institutions.
Why Is Vietnam Building an International Financial Centre?#
Vietnam's economy has grown at an average rate exceeding 6% annually over the past two decades. It is now the world's 35th-largest economy by GDP and a major destination for foreign direct investment in manufacturing and technology. Yet its financial sector remains relatively underdeveloped compared to its economic weight. The domestic capital market, while growing, lacks the product depth, regulatory sophistication, and international connectivity that characterise regional financial hubs.
The VIFC is designed to address this gap. By creating a regulatory environment that meets international standards — English-language documentation, common-law dispute resolution, internationally recognised accounting standards — Vietnam aims to attract financial institutions that would otherwise bypass the country in favour of Singapore, Hong Kong, or Dubai.
The strategic logic extends beyond finance. A functioning international financial centre would:
- Provide a regulated channel for international capital to access Vietnamese growth opportunities
- Create a venue for Vietnamese companies to raise capital from international investors
- Support the development of commodity and derivatives markets that serve Vietnam's agricultural and energy sectors
- Establish Vietnam as a financial services hub for the broader Mekong region
How Is the VIFC Structured?#
The VIFC operates under what the legislation describes as a "one centre, two locations" model:
Ho Chi Minh City serves as the primary financial hub. This location hosts the core regulated activities: banking, capital markets, insurance, asset management, and professional services. Its selection reflects Ho Chi Minh City's existing status as Vietnam's commercial capital, with established financial infrastructure and the country's largest concentration of international business.
Da Nang serves as the innovation and technology hub. This location focuses on fintech, digital assets, green finance, and technology sandbox operations. Da Nang's selection reflects its lower operating costs, growing technology workforce, established international airport, and quality-of-life advantages for expatriate staff.
Both locations fall under the jurisdiction of a single regulatory body: the VIFC Management Authority.
The Legal Framework#
The VIFC's legal foundation consists of four key instruments:
- Resolution 222/NQ-QH (National Assembly, November 2024) — The foundational political mandate, establishing the VIFC's international orientation, special mechanisms, and membership gateway
- Decree 323/ND-CP (Government, 2025) — The operational blueprint, defining governance, the dual-location model, priority sectors, and the Management Authority's powers
- Decree 329 + Circular 72 (Government/SBV, 2025) — The banking and financial layer, covering FX rules, AML framework, capital account provisions, and payment settlement
- Decree 330/ND-CP (Government, 2025) — The commodity exchange establishment decree, covering clearing, settlement, and commodity derivatives
Each of these instruments is explained in detail in our Regulation section.
Priority Sectors#
The VIFC framework identifies eight priority sectors: banking, capital markets, insurance, asset management, fintech and digital finance, commodity trading, green and sustainable finance, and professional services. These designations are not merely aspirational — they determine where regulatory infrastructure will be developed first and where licensing pathways will be clearest.
For a detailed breakdown of market opportunities in each sector, see our Opportunities section.
How Does the VIFC Compare to Other IFCs?#
The VIFC's design draws heavily from established models, particularly the Dubai International Financial Centre (DIFC), the Astana International Financial Centre (AIFC), and India's GIFT City. Key comparisons include:
- Regulatory independence: Like DIFC and AIFC, the VIFC establishes its own regulatory authority separate from domestic financial regulators
- Common law: The VIFC adopts common-law principles for commercial dispute resolution, following the DIFC and AIFC model
- Dual location: The two-city model is relatively unusual and more closely resembles China's Greater Bay Area integration approach
- Tax incentives: The VIFC offers preferential tax rates comparable to those in GIFT City and AIFC
For a detailed comparison, see VIFC vs Other IFCs.
What Happens Next?#
The VIFC is currently in its institutional development phase. The Management Authority is being constituted, licensing frameworks are being detailed, and physical infrastructure is being developed in both Ho Chi Minh City and Da Nang. Initial operations are targeted for 2027.
For international firms and professionals considering engagement with the VIFC, the key question is timing. The consultation and feedback mechanisms are active, and early engagement offers the opportunity to shape emerging regulations and establish relationships with the new regulatory bodies.
We track every development in the VIFC's progress. Subscribe to our weekly briefing to stay informed, or explore our detailed guides on regulation, opportunities, and living in Vietnam.