Aerial view of District 1, Ho Chi Minh City’s commercial center. Photo by Shutterstock/Sam’s Studio
HCMC has risen to 98th out of 119 cities in the annual Global Financial Centers Index, advancing seven positions from last year and to its highest ever ranking.
The Vietnamese metropolis, which first made the index in 2022, rapidly narrowed the gap in Southeast Asia and drew closer to hubs such as Bangkok (96th) and Jakarta (97th), according to the 37th edition of the index released this week by Shenzhen-based China Development Institute in and London-based Z/Yen Partners.
Singapore remained atop the region unchanged at fourth place globally.
The GFCI score is derived from 145 input factors supplied by organizations such as the United Nations, World Economic Forum, World Bank, Transparency International, and World Wide Web Foundation.
Cities are also assessed through an online survey of 50,000 respondents.
The final GFCI score, which determines their competitiveness as a financial center, is often used by policymakers and investors.
HCMC, Vietnam’s biggest city, has been laying the groundwork for becoming an international financial center for nearly 20 years.
Last year the government greenlit a plan to build an international financial center in the city. Work on it is scheduled to begin this year and finish in five years.
The creation of the center is expected to draw international investors and increase foreign direct investment in various sectors.
Earlier this year HCMC established a steering committee for its construction and development.
It is proposed to be situated in District 1 and the contiguous Thu Thiem New Urban Area across the Saigon River, which has among the most expensive real estate in Vietnam.
Globally, New York remained in first place in the ranking, followed by London and Hong Kong.
The top nine cities, four of them in the U.S. and three in China, maintained their positions, while the South Korean capital Seoul overtook Germany’s Frankfurt to reach 10th place.
