Vietnam’s Capital Needs Expected to Reach VND 38.5 Quadrillion Over Five Years
Vietnam’s economy is expected to need about VND 38.5 quadrillion in 2026–2030. Ho Chi Minh City plans to broaden financing through channels including foreign currency local government bonds, while private equity and venture capital funds are also seen as ways to connect international capital with domestic businesses.
Vietnam’s economy is expected to need about VND 38.5 quadrillion in funding from 2026 to 2030, equivalent to approximately US$1.45 trillion, or about VND 7.8 quadrillion a year. Speaking at a discussion at the Vietnam Investment Forum 2027, Nguyễn Sơn said the state budget is expected to cover about 22%, with the rest coming from the private sector, foreign direct investment and foreign indirect investment.
Ho Chi Minh City has passed a resolution allowing it to issue foreign currency local government bonds, adding a financing channel for urban infrastructure projects. Nguyễn Hữu Huân, vice chairman of the executive agency of the Ho Chi Minh City International Financial Center, said the center was established in February 2026 and is focused on developing capital market products. The foreign currency bonds are expected to improve projects’ access to international investors, though the specific issuance remains in the planning stage.
Nguyễn Hữu Huân, vice chairman of the executive agency of the Ho Chi Minh City International Financial Center.（VietVance）
Beyond bonds, private equity and venture capital funds are also seen as channels for bringing capital to unlisted Vietnamese businesses. Nguyễn Hữu Huân said small and medium-sized enterprises account for about 98% of all businesses in Vietnam, and not all of them qualify to raise funds through the securities market. In addition to providing capital, such funds may help businesses improve governance and exit their investments after the businesses list.
Nguyễn Sơn said the development of the Ho Chi Minh City International Financial Center should be linked to Vietnam’s domestic capital and money markets. He noted that a financial center’s competitiveness also depends on the scale of assets under management and the market capitalization and liquidity of listed companies. Participants also proposed improving the sovereign credit rating and raising corporate governance standards to help reduce international borrowing costs.
Source: VietVance
