To implement the recently issued Resolution on International Financial Centers in Vietnam (“IFC Resolution”), which is set to take effect on September 1, 2025 (see our previous article), the government of Vietnam is making every effort to formulate and issue guiding decrees—up to eight in total—before the effective date of the resolution. These decrees will establish key principles, define the rights and obligations of stakeholders, and outline permissible business activities within the IFCs, and serve as a foundation for the legal framework of the IFCs.

Below are highlights of two draft decrees that have been released for public consultation.

Draft Decree on IFC Establishment

• Ho Chi Minh City: The IFC in Ho Chi Minh City will focus on capital markets integrated with asset management services, fund management, insurance, financial products and financial derivatives; banking systems and money market products; fintech and financial innovation through sandbox mechanisms; specialized exchanges and new trading platforms; commodity markets, commodity and commodity derivatives exchanges linked to domestic and international physical commodity markets; and regional supply chain services, logistics hubs, maritime transport, and seaport infrastructure.
• Da Nang: The IFC in Da Nang will mainly develop green finance and commercial finance for SMEs and innovative enterprises, non-resident organizations and individuals (i.e., offshore financial services); cross-border trade activities linked to free trade zones, high-tech zones, new economic zones, and industrial zones; pilot control mechanisms for emerging models, such as digital assets, cryptocurrencies, and digital payments and transfers; new exchanges and trading platforms; investment funds, remittance funds, and small and medium fund management companies; startups in financial solutions for consumer services, tourism, e-commerce, logistics, and services within free trade zones; and related support, advisory, development, and legal services.
• Incentives: The People’s Committees of Ho Chi Minh City and Da Nang will need to decide on their list of incentivized sectors and incentive policies.
• Dedicated agencies: The People’s Committees of Ho Chi Minh City and Da Nang will establish an executive agency and a supervisory agency, which will have certain duties, such as assessing IFC membership applications and operating the IFCs with a one-stop shop function for administrative procedures.
• IFC membership: The decree will either specify conditions for membership (i.e., decided by the government) or delegate the executive agency to specify conditions for membership. In either case, members of one IFC are jointly recognized at both IFCs in Ho Chi Minh City and Da Nang.
• Dispute resolution: The establishment of specialized dispute settlement bodies (i.e., a specialized court and an international arbitration center under the IFCs) will be governed by other relevant specialized laws and regulations, such as the Law on the Organization of People’s Courts and regulations of the government on international arbitration centers.

Draft Decree on Policies for Import-Export, Distribution of Goods and Services, Commodity Exchange, and Operation of Mercantile Exchange within IFCs

• Trading platforms and exchanges: IFC members, subject to satisfaction of statutory conditions and requirements on financial capacity, technology infrastructure, personnel and data privacy, can establish trading platforms and exchanges within the IFCs in commodity and commodity derivatives, carbon credits, cultural and artistic products, precious metals, green financial products, specialized trading platforms, and new forms of trading platforms tailored to evolving development demands.
• Mercantile exchange: A separate mercantile exchange will be established within the IFCs to organize the commodity and commodity derivatives market in the IFCs. The mercantile exchange will also organize and operate the commodity exchange in the IFCs.
• Import and export: A special customs regime in the IFCs will be applied to streamline administrative procedures, enhance efficiency, and align with international best practices, such as automated and expedited clearance mechanisms, on-the-spot import and export, bonded warehouses, and container freight stations.
• Distribution: Traders that are established and operated in the IFCs are permitted to engage in the following distribution activities and distribution supporting services:
  • Distribution activities: Goods trading (including wholesale, retail, export, import); commercial agency; franchising; and other lawful commercial activities, serving internal trade needs of the IFCs or connecting with external markets. Some state management measures in trading are also relaxed for the IFCs, such as the removal of requirements in preparing the Economic Needs Test dossier, obtaining a separate investment in-principle approval, and franchise notification.
  • Distribution supporting services: Logistics, warehousing, storage, and transportation; insurance, banking, and electronic payment services; legal, accounting, and auditing services; and digital services and platforms for sales and supply chain management.

Outlook

These draft decrees demonstrate the government’s delegation of responsibility to ministries and local authorities for completing a comprehensive regulatory framework, while ensuring timely adaptation to the financial market development and fluctuations. To ensure the full and effective operation of the IFCs, continued development and issuance of relevant local laws and regulations, as well as detailed guidelines by the ministries and local authorities, will be essential.