TP.HCM Expands Funding for Regional Joint Projects

Key pointsTP.HCM and the Southeast region are experiencing an increasing need for large-scale projects. In response, urban development laws have been revised to allow local governments to jointly fund and invest in public works. The enhancement of transportation infrastructure is particularly emphasized, and new mechanisms are sought to strengthen inter-regional collaboration, aiming for tangible results by 2030.
Business impactFor Japanese companies, strengthening inter-regional collaboration may create new business opportunities. It is crucial to deepen partnerships with local governments, especially in infrastructure investment and logistics-related businesses. Companies need to pay attention to upcoming regional development plans and formulate appropriate strategies.

Key pointsVietnam's textile industry may be affected by an increase in the export tax rate to 12.5% in the US starting in the second half of 2026. Although many textile companies recorded double-digit growth in the second quarter, concerns arise over Vietnam's competitiveness due to competing countries having a tax rate of 10%. The tax rate difference is expected to significantly impact Vietnam's textile sector, which heavily relies on the US market.
Business impactJapanese companies need to consider the increased costs associated with the tax rate change and review their pricing strategies and supply chains. Cost management will be crucial, especially as price competition intensifies with rival countries.

Key pointsThere has been little listing of FDI companies in Vietnam's stock market. Since Siam Brothers Vietnam went public in 2016, there have been no new listings for nearly a decade, with only 10 out of 11 FDI companies currently listed. In the first eight months of 2026, registered FDI capital reached $40.62 billion, a 55.4% increase year-on-year, but the capital of listed companies accounts for only 0.15% of the total. Factors hindering listings include obligations under investment contracts, governance and transparency requirements, and business reviews for IPO preparations.
Business impactIt is important for Japanese companies to understand the background of the slow listing of FDI companies. Particularly, they need to consider legal obligations and governance requirements when aiming for a public listing, which can broaden future funding options.

Key pointsOn September 17, 2026, Vietnam's Prime Minister Le Minh Khai met with the CEO of FTSE Russell and representatives from global financial institutions to discuss plans for the development of Vietnam's securities market. The upgrade decision by FTSE Russell and commitments for direct investment from Vanguard are expected to bring billions of dollars into the Vietnamese market, enhancing the reliability of its capital market and increasing interest from foreign investors.
Business impactFor Japanese companies, FTSE Russell's support could expand funding options. Companies considering fundraising through the capital market should closely monitor future developments and approach at the appropriate timing.

Key pointsThe Market Management Department of Ho Chi Minh City has investigated seven organizations and individuals, seizing over 40,000 counterfeit goods. A large-scale counterfeit manufacturing network has been uncovered and referred to investigative authorities. This crackdown is a significant step towards consumer protection and market integrity.
Business impactThe enforcement against counterfeit goods is crucial for Japanese companies in terms of brand protection. To maintain market credibility, businesses need to strengthen measures to safeguard their brands.

Key pointsAIA Vietnam positions talent development for the AI era as part of its corporate strategy. Recognizing that employee adaptability influences corporate transformation, the company aims for talent development that contributes to overall organizational change rather than just offering training programs. Through practical training utilizing AI, it seeks to enhance employee capabilities and support sustainable corporate growth.
Business impactJapanese companies need to reassess their talent development strategies in light of AI implementation, creating environments that enable employees to adapt to new technologies.

Key pointsOn September 17, 2026, Nguyen Phu Hoang, Deputy Director of VIFC-HCMC, announced the future strategic direction, which includes global standard talent development, issuance of municipal bonds for infrastructure development, and a focus on four main financial product groups. Efforts to address challenges faced by the business community were also emphasized.
Business impactJapanese companies are expected to leverage new financial products and infrastructure investment opportunities from VIFC to accelerate their business development locally, particularly by exploring new collaboration possibilities in financing and talent development.

Key pointsThe Vietnam International Financial Center (VIFC) aims to secure $1.5 billion in funding over the next decade to support infrastructure development, industrial modernization, energy transition, and economic expansion. Legal frameworks will be established from 2023 to 2024, with institutional structures being developed by 2025. VIFC will operate in Ho Chi Minh City and Da Nang, linking international funds to domestic projects.
Business impactJapanese companies can explore new funding opportunities through VIFC, particularly in infrastructure-related projects, leveraging international capital.

Key pointsTraffic congestion has resurfaced in Ho Chi Minh City, particularly affecting students as the new school term begins. Notable traffic jams are occurring on major routes and around schools, with increased paralysis during rainy weather. City authorities have identified 28 congestion points and are planning solutions.
Business impactThis is likely to impact logistics and commuting for Japanese companies, necessitating adjustments to commuting times and delivery schedules. Business operations are expected to be affected until congestion relief measures are implemented.

Key pointsThe State Bank of Vietnam has announced guidelines for credit growth in 2026, deciding to revise the calculation method for credit balances in certain areas of the real estate sector. This change aims to ensure the safety and transparency of the banking system and operate based on market principles. Notably, there is a call for capital enhancement at Agribank, aiming to improve financial capacity in line with international standards.
Business impactThis policy change may directly affect the lending plans and real estate investment strategies of Japanese companies. Stricter lending conditions are anticipated, necessitating a review of funding strategies.

Key pointsThe U.S. Federal Reserve (FRB) has decided to raise interest rates for the first time in nearly three years, leading to a sharp decline in international gold prices, which have fallen below $4,300 per ounce, alongside a strengthening dollar. This trend is expected to increase exchange rate and inflation pressures on the Vietnamese economy, potentially creating a divide between export-oriented companies and those reliant on imports.
Business impactJapanese companies need to reassess their strategies considering the impact of the rising dollar and fluctuating gold prices on raw material costs and export competitiveness.

Key pointsThe Vietnam Securities Commission has announced a regulation requiring crypto exchanges to submit audited reports on customer assets twice a year. The reporting deadlines are set for July 31 and January 31 each year, including details on the status of customer deposits and audit results. This regulation aims to enhance investor protection in the rapidly growing crypto asset market.
Business impactFor Japanese companies, while the tightening of regulations in the crypto asset sector does not pose a direct business risk, the increased transparency in financial infrastructure is a welcomed aspect. It is essential to monitor regulatory developments when considering investments.