VIFC-HCMC opens new channel for infrastructure financing

On September 9, Vietnam's International Financial Centre in Ho Chi Minh City (VIFC-HCMC)’s Executive Agency held a consultation meeting to gather feedback on the draft Resolution of the Ho Chi Minh City People's Council on the issuance of municipal bonds and project bonds at VIFC-HCMC.

The consultation attracted around 50 delegates from diverse central agencies, local departments and sectors, as well as a range of leading international financial institutions and organisations, including the International Finance Corporation under the World Bank, BNP Paribas, Citibank, Singapore's UOB, MB Bank, the Ho Chi Minh City Finance and Investment Company (HFIC), Ho Chi Minh City Securities Corporation (HSC).

In his opening remarks, Nguyen Huu Huan, vice chairman of VIFC-HCMC Executive Agency, noted that the most important objective is to establish a new capital raising channel for the city, connecting the enormous demand for infrastructure and urban development funding with long-term domestic and international capital flows.

Photo: baodaudu.vn

“This will be one of VIFC-HCMC's first foundational products, while also helping ease pressure on the budget and bank credit,” he said.

In practice, major projects in Ho Chi Minh City, including the metro system, seaport and logistics infrastructure, and energy projects, are facing substantial capital requirements.

Issuing bonds directly through the VIFC-HCMC is seen as a key to addressing the funding challenge, opening up new financing space beyond traditional credit channels.

Experts and representatives of financial institutions focused their contributions on five core areas of the draft resolution. These included a detailed examination of the legal basis and the structure of bond issuance, covering the currency of issuance, maturities, interest rates and credit ratings.

The discussions also covered foreign-exchange, liquidity and other risk-management issues; preparations for registration and depository infrastructure at the Vietnam Securities Depository and Clearing Corporation; as well as orientations for developing green bonds and sustainability bonds.

Participants offered a range of practical perspectives aimed at ensuring that the issuance mechanism would be genuinely attractive to international investors. Neeraj Gupta, representing International Finance Corporation in the Asia-Pacific region, and Johan Nyvene, chairman of the Board at HSC shared international experience on how local governments issue bonds.

Representatives from BNP Paribas Vietnam, MB Bank and HFIC focused on technical solutions to connect with international capital markets and broaden the investor base.

VIFC-HCMC executive said all feedback from the financial community would be incorporated as the agency further refines the draft resolution before submitting it to the Ho Chi Minh City People's Council for approval.

Once completed, the legal framework will provide a platform for the city to confidently mobilise international funding and accelerate the development of landmark infrastructure projects in the period ahead.

The VIFC was established under National Assembly Resolution No.222/2025/QH15 and Government Decree No.324/2025/ND-CP in 2025.

Operating in Ho Chi Minh City and Danang, it aims to build a financial centre with regional and international competitiveness and connect capital flows to support socioeconomic development.

After more than six months of operation, VIFC-HCMC’s executive Nguyen Huu Huan said total capital commitments from domestic and international investors and partners had touched around $20 billion, while foundational components such as aviation finance and the maritime financial ecosystem were gradually taking shape.

Furthermore, according to the Global Financial Centres Index 39 for 2026, Ho Chi Minh City climbed 11 places to rank 84^th out of 120 global financial centres, placing third in Southeast Asia.

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