Vietnam Airlines announced changes to flights between Vietnam and Kaohsiung, Taipei (Taiwan, China), South Korea, and Japan from October 1 to 3. Flights from Kaohsiung to Hanoi and Ho Chi Minh City scheduled for October 2 have been canceled. Further updates on flights between Vietnam and these regions will be provided on October 2 and 3.
On October 1, Vietnam Airlines canceled flights from Hanoi and Ho Chi Minh City to Kaohsiung. Additionally, routes and landing times for flights between Ho Chi Minh City, Da Nang, Nha Trang, and South Korea/Japan were altered.
Vietjet has taken precautions by loading extra fuel and reducing cargo for its flights from Hanoi to Tokyo and Fukuoka (Japan) and from Ho Chi Minh City to Busan (South Korea). The airline announced that starting from September 30, some flights to and from China, Hong Kong, Taiwan (China), South Korea, and Japan may be affected and subject to schedule adjustments.
Passengers are advised to monitor updates on the typhoon and adjust their travel plans accordingly. Any weather-related changes will be communicated via airline fan pages, websites, or through phone calls and emails linked to customers’ bookings.
In Taiwan (China), airports have been shut down, and numerous flights between cities hit hardest by Typhoon Krathon have been canceled. According to Reuters, at least 246 international flights to and from the island were canceled on October 2. Several airlines have also suspended flights between Hong Kong and Taiwan (China) from October 1 to 4.
As of now, domestic flights and the Shinkansen high-speed trains in Japan’s Kanto region have not been affected by the storm.
Typhoon Krathon, with sustained winds of 173 km/h and gusts reaching 209 km/h, is expected to make landfall in the port city of Kaohsiung (Taiwan, China) early on October 3. The storm has already brought heavy rain and strong winds to Japan, the Philippines, and Taiwan (China).
The National Center for Hydro-Meteorological Forecasting in Vietnam has stated that Typhoon Krathon is unlikely to affect Vietnam’s coastal or mainland regions.
Tensions in the Middle East have escalated after Israel launched its first military operation in nearly 20 years against Hezbollah forces in Lebanon. The conflict has intensified over the past week with ongoing airstrikes between Israel and Hezbollah, particularly after Israel initiated a limited ground campaign into Lebanon on October 1.
Amid the rising threat of further conflict, including potential missile attacks from Iran, the Vietnam Embassy in Israel has advised all Vietnamese citizens to remain vigilant.
To ensure the safety of people and property, the embassy urges the Vietnamese community in Israel to strictly follow local security and safety regulations, avoid large gatherings, and stay close to areas with shelters. Citizens are encouraged to prepare personal security plans for themselves and their families during the ongoing conflict. Additionally, they should regularly monitor reliable news outlets for updates on the situation in Israel and avoid high-risk areas, including government buildings, military zones, and fuel storage facilities.
The embassy also encourages citizens to maintain regular contact and, in emergencies, seek assistance through the Vietnam Embassy’s emergency hotline in Israel.
The outflows snapped an eight-day winning streak as BTC lost as much as 6% amid an acute heightening of tensions in the Middle East.
Bitcoin (BTC) exchange-traded funds (ETFs) in the U.S. saw outflows of $242.6 million on Tuesday in their worst day since Sept. 3, according to data from SoSoValue.
The outflows snapped an eight-day streak of inflows as BTC lost as much as 6% amid an acute sharpening of tensions in the Middle East that saw Iran fire around 200 ballistic missiles at Israel on Tuesday. The strike followed Israel’s attacks on Hezbollah, designated a terror group by more than 60 jurisdictions including the U.S., European Union and Arab League, in Lebanon in recent weeks. Israeli Prime Minister Benjamin Netanyahu vowed to retaliate.
Bitcoin fell to a low of $60,300, erasing almost all of its gains since the U.S. Federal Reserve’s interest-rate cut last month, signaling an inauspicious start to “Uptober,” the community’s affectionate name for the calendar month that has historically seen the highest gains for BTC. The largest cryptocurrency has lost 2.6% since the start of the month, CoinDesk Indices data show.
Ether ETFs also suffered on Tuesday with outflows of $48.5 million, the worst day since Sept. 23.
The initiative created digital versions of gilts, eurobonds and gold on the Canton Network to test complex financial transactions on blockchain rails.
Real-world asset tokenization company Digital Asset said Tuesday that it completed a pilot initiative to tokenize U.K. bonds (gilts), Eurobonds, and gold for financial transactions using the Canton Network protocol.
Major securities settlement provider Euroclear, the World Gold Council and global law firm Clifford Chance also participated in the process, alongside with other banks, investors, custodians and a central securities depository, the press release said.
Tokenization refers to the process of converting real-world assets (RWA) such as bonds, real estate, or commodities like gold into digital tokens on blockchain rails. These tokens represent ownership or control over the asset, allowing it to be traded more easily and quickly in a digital format, while still preserving the value of the underlying property. Reports by Boston Consulting Group and 21Shares forecast over $10 trillion of tokenized assets by the end of the decade in their optimistic scenarios, while McKinsey predicted $2 trillion by then in its base case.
In the case of this pilot, which ran between June and July, the project created digital representations of gilts, Eurobonds, and gold to be used as collateral with greater transparency, faster transfers and around-the-clock, near-instantaneous settlements between parties, without the delays associated with traditional financial rails.
“Our work with the pilot participants has demonstrated that tokenized assets can be used with immediate effect to meet intraday margin calls outside of normal settlement cycles, processing times, and time zones,” said Kelly Mathieson, chief business development officer at Digital Asset. It also demonstrated how the ledger can serve as the legal record and has validated the secured party’s control over the digital twin and real-world assets received as margin or collateral in the event of a counterparty default.”
Tokenized gold also offered notable benefits, said Mike Oswin, global head of market structure and innovation at the World Gold Council. By converting physical gold into “Standard Gold Units” (SGU), the pilot demonstrated how the precious metal can be used more seamlessly as collateral asset in financial transactions.
“This removes traditional barriers like storage limitations,” said Mike Oswin, global head of market structure and innovation at The World Gold Council.
High-speed ferries transporting passengers to and from Con Dao will temporarily change their docking point to Ben Dam Port (about 15 km from the center), instead of Con Dao Passenger Port.
Tourists arriving in Con Dao will be dropped off at Ben Dam Port instead of Con Dao Passenger Port as before. Photo: Linh Huynh.
Speaking to Tri Thuc – Znews, representatives from Phu Quoc Express and Superdong, the two companies providing passenger transport to Con Dao, confirmed that the pickup and drop-off point in the district will temporarily move to Ben Dam Port, located approximately 15 km from the center.
Con Dao Passenger Port, which began operations in April 2023, will temporarily stop receiving passengers for maintenance and to avoid the unpredictable weather conditions toward the end of the year. This change will be in effect starting from October 1.
According to the Ben Dam Port Management Board, maintenance is expected to be completed by the end of this year.
“Con Dao Passenger Port reduces the travel distance to the city center compared to Ben Dam Port (Zone 10). However, because it is located near the district center, it is more affected by the weather. Therefore, regular annual maintenance is required, ” a representative explained.
Moreover, from November to February, Con Dao experiences its monsoon season, characterized by strong winds, rough seas, and limited sunshine. Moving the docking location ensures the safety of tourists.
Tourists can use the high-speed ferry or taxi, bus… to get to the center of Con Dao. Photo: Linh Huynh.
However, at Ben Dam Port, visitors will need to use additional transportation, such as taxis or buses, to travel to and from the district center.
The weather in Con Dao (Ba Ria – Vung Tau Province) is divided into three distinct seasons. From March to May, the island experiences ideal conditions for outdoor activities, making it the peak tourism season.
Next is the turtle nesting season, which lasts from April through October. The local authorities have capitalized on this by offering tours to observe turtles laying eggs and participate in sea turtle conservation efforts, one of Con Dao’s unique experiences.
Finally, the monsoon season begins from November and lasts until February of the following year.
In a previous interview with Tri Thuc – Znews, Mrs. Tran Thi Hoai Thu, Head of the Culture and Information Department of Con Dao District, mentioned that with such specific weather patterns, the local tourism industry tends to focus on promoting travel during the first few months of the year.
However, towards the end of the year, Con Dao sees fewer visitors, offering the island a return to its serene and pristine state.
The leading American travel magazine Travel+Leisure recently published an article praising Phu Quoc as a “rising star” among the world’s most beautiful islands.
In the article published on September 23, Travel+Leisure stated that “the irresistible charm of Phu Quoc has turned it into one of the most precious hidden gems in Southeast Asia.”
Screenshot of the article
Dubbed the “Sunshine Paradise,” Phu Quoc’s southern island area has surpassed famous destinations in the region, such as Phuket (Thailand) and Bali (Indonesia), to become the second most beautiful island in the world, only behind the Maldives, as recognized in Travel+Leisure’s 2024 The World’s Best Awards.
With its soft white sands and emerald green waters, Bai Kem beach was praised by the prestigious magazine as a must-visit destination and a “symbol of luxury” on the island, hosting some of the region’s top resorts.
In addition to its luxury resorts, Phu Quoc also impresses visitors with its unique attractions and outdoor adventures. Tourists can enjoy swimming, scuba diving, kayaking, and explore the island’s rich marine ecosystem.
Travel+Leisure emphasized: “As the hot summer months and rainy season pass, Phu Quoc enters its most beautiful time of the year, with stable temperatures around 30°C, perfect for all sightseeing and exploration activities.”
Phu Quoc is applying a visa exemption policy of up to 30 days for foreign tourists. Photo: Agoda
Notably, Phu Quoc’s visa-free policy for up to 30 days is seen as a “significant boost” in attracting more foreign tourists to the “Pearl Island.” This is an advantage that few other destinations in the region or around the world can offer.
The tourist submarine service in Nha Trang Bay has been granted an extension for its pilot operation until March 30, 2025, pending the finalization of related legal regulations.
On September 28, Deputy Prime Minister Tran Hong Ha signed and issued document No. 724/TTg-CN, extending the pilot period of the tourist submarine service in Nha Trang Bay (Khanh Hoa Province) to allow more time for the completion of relevant legal regulations. According to a proposal by the Ministry of Transport, the pilot period will be extended until March 30, 2025, as reported by the Vietnam News Agency (VNA).
The Deputy Prime Minister has tasked the Ministry of Transport, the Ministry of National Defense, the People’s Committee of Khanh Hoa Province, Vinpearl Joint Stock Company, and related agencies with overseeing the management of submarine service operations in Nha Trang Bay. These operations must comply with current regulations on security, national defense, and relevant laws.
Vinpearl Joint Stock Company and related agencies are required to ensure safety measures, prevent accidents, conduct rescue operations, and bear legal responsibility if any safety issues occur during the submarine service activities in Nha Trang Bay.
The Ministry of Transport will closely coordinate with the Government Office during the process of drafting and submitting legal documents related to submarine service activities for approval.
The tourist submarine service in Nha Trang Bay was initially approved in principle by the Prime Minister in document No. 1505/TTg-CN in 2020.
The Ministry of Transport is currently leading the process of drafting a decree to amend and supplement certain provisions of Decree No. 58/2017/ND-CP, including the management of tourist submarines operating in Vietnamese seaport waters. This draft decree has been submitted to the Ministry of Justice for review.
As such, the Ministry of Transport has requested that the Prime Minister extend the pilot period of the submarine service in Nha Trang Bay until the issuance of full legal regulations governing the management of tourist submarine operations.
This morning, October 1, at Cam Ranh International Airport, the Department of Tourism of Khanh Hoa Province organized a ceremony to welcome the province’s 9 millionth tourist in 2024.
At 9:50 AM, Vietnam Airlines flight VN441 from Incheon (South Korea) landed at Cam Ranh International Airport, carrying 180 passengers.
Khanh Hoa tourism industry organizes to welcome the 9 millionth tourist to the province in 2024. Photo: Hung Minh
As the plane reached the parking area, the organizers arranged several welcoming activities, including a water cannon salute, and presented gifts to the first 20 passengers who disembarked, as well as to the 8,999,999th, 9,000,000th, and 9,000,001st tourists. All passengers on the flight also received gifts at the reception area.
The brief event brought a joyful atmosphere, creating a lasting impression and a memorable experience for tourists arriving in Khanh Hoa.
This event is seen as a milestone marking the growth of Khanh Hoa’s tourism industry in 2024. Over the past nine months, the number of tourists coming to Khanh Hoa has reached 100% of the target set for the year.
Mr. Cung Quynh Anh, Deputy Director of the Khanh Hoa Department of Tourism, stated that through this event, the tourism sector aims to showcase Khanh Hoa, particularly Nha Trang, as a friendly and hospitable destination. The province hopes that both domestic and international tourists will continue choosing Khanh Hoa for their travel experiences.
Since the beginning of the year, Khanh Hoa has organized numerous tourism promotion events and programs, such as the Nha Trang Sea Tourism Festival, Nha Trang International Light Bay Festival 2024, the Kite Awards 2024, and the India-Khanh Hoa Tourism Promotion Conference 2024 .
The $100,000 call is the most popular bitcoin option on Deribit.
Need evidence of just how bullish the bitcoin (BTC) market sentiment is? Look no further than crypto exchange Deribit, where traders have locked in nearly $1 billion in call options at a $100,000 strike, providing buyers with an asymmetric upside above the said level.
As of writing, the dollar value of the number of active call options contracts at the $100,000 strike price was over $993 million, the highest among all other BTC options listed on the exchange, according to data source Deribit Metrics. On Deribit, one options contract represents one BTC.
The second most popular option was the $70,000 call, boasting an open interest of over $800 million. More importantly, call options accounted for over 50% of the total BTC options open interest of $14.15 billion on the exchange.
“The highest open interest across all expirations appears at $100K and $70K for bitcoin, which some market participants interpret as supporting the bullish sentiment that seems to be pervading the market,” crypto trading firm Wintermute said in a note shared with CoinDesk.
A call buyer has the right but not the obligation to purchase the underlying asset at a predetermined price on or before a specific date and is implicitly bullish on the market. Traders, anticipating price rallies, often buy cheap out-of-the-money options like the $100,000 call, which are relatively cheaper than those closer to the ongoing spot price.
U.S. elections options
BTC options expiring on Nov. 8, the day when the results of U.S. election results will be announced, boast a cumulative open interest of $938 million, with $117 million concentrated in the $45,000 strike put options.
The popularity of the $45,000 points is consistent with the tendency of traders to seek downside hedges ahead of a binary event like the election results.
“The volatility surface indicates a bias toward the downside until late October/November when the market begins to favor calls over put protection. Current positioning suggests support for a post-election rally,” Jake Ostrovskis, OTC Trader at Wintermute, told CoinDesk in an email.
Open interest in December expiry is concentrated heavily in call options, with the $100,000 strike being the most popular in a sign of expectations of a year-end surge.
Polymarket traders are unsure
Traders over decentralized betting platform Polymarket see a low probability of the cryptocurrency tapping the !00,000 mark by the end of the year.
At press time, the Yes side shares in the “Will Bitcoin Hit $100K in 2024” contract traded at 15 cents, representing a minuscule probability of a rally into six figures. The contract will automatically resolve to yes should BTC’s price Coinbase hit a high of $100,000 on or before Dec. 31.
Meanwhile, traders see just over 50% chance of bitcoin surpassing the record high of $73,798 by the year’s end.
A potential bitcoin rally could start between now and April if the crypto follows historical patterns post halving, the report said.
The digital assets sector continues to outperform the stock market this year, with bitcoin (BTC) leading the charge, broker Canaccord said in a quarterly report on Monday.
The broker noted that the world’s largest cryptocurrency finished the last quarter up around 140% year-on-year (y/y), outperforming ether (ETH) which gained about 60% and the S&P 500 stock index, which rose almost 30%, over the same period.
If bitcoin follows historical patterns it tends to rally 6-12 months following the halving, and reach new highs 2-6 months later, meaning a potential rally could start between now and April, the broker said.
The Federal Reserve’s 50 basis points (bps) interest rate cut triggered a move higher for both equities and digital assets, Canaccord noted.
“We think the most healthy reaction for crypto’s long-term future in a scenario like this would be a decline in BTC,” the report said, given the lesser need for an inflation hedge, and a rise in ether and other digital assets alongside risk equities, as “investors become more willing to underwrite longer-term growth and innovation.”
Bitcoin is still performing like other risk assets for now, and is reacting positively to the “lower-rate environment,” analysts led by Michael Graham wrote.
BTC’s correlation to risk assets is 0.4, down from all-time highs of 0.6 in June 2022, the authors wrote.
While the timing of any future rate cuts is unclear, beneficial supply and demand dynamics following the bitcoin halving in April could add to the positive tailwinds from exchange-traded funds (ETFs), the report added.
Stablecoin supply grew 7% in the third quarter, the report noted.
While the massive sum may raise eyebrows, experts argue that the project’s scale is both realistic and manageable given Vietnam’s current economic outlook and thorough planning.
For nearly 15 years, Vietnam has been researching this high-speed rail link, which would significantly shorten travel times between the country’s two economic hubs, Hanoi and Ho Chi Minh City. Back in 2010, when Vietnam’s GDP was only $147 billion, the estimated $56 billion required for the project represented a staggering 38% of the country’s economy, pushing the public debt to nearly 57% of GDP—a figure close to the maximum allowable limit.
Fast forward to 2024, and Vietnam’s economic landscape has changed dramatically. This year, the economy is forecast to exceed $465 billion, more than three times its size in 2010. With this growth, the $67 billion investment in the high-speed railway is no longer viewed as a prohibitive financial burden.
Shantanu Chakraborty, the Asian Development Bank’s Country Director for Vietnam, emphasized the project’s potential: “If executed correctly, this high-speed railway could be a game-changer for Vietnam. Globally, similar projects have been catalysts for economic growth, and we expect the same here. The strategic importance of this project cannot be overstated, and we are excited to see it move forward.”
According to assessments from Vietnam’s Ministry of Finance, key public debt indicators—public debt, government debt, and external national debt—are projected to remain 5% to 15% below the allowable limits through 2030, even with this significant investment.
National Assembly Finance and Budget Committee member Hoang Van Cuong noted that “Our current public debt stands at 37%, well below the 60% limit. This gives us ample room to raise funds, potentially up to $100 billion, without exceeding safe levels of public debt.”
The timeline for the completion of the high-speed railway is estimated at around 10 years. This means Vietnam will need to allocate approximately $5.6 billion annually, or around 145 trillion VND, to the project over the next decade.
This yearly investment will represent around 24.5% of the medium-term public investment budget from 2021 to 2025 and will decrease to 16.2% during the 2026-2030 period. These proportions are considered manageable within the context of Vietnam’s projected economic growth, making the high-speed rail project an ambitious yet attainable goal.
According to the National Center for Hydro-Meteorological Forecasting, a cold air mass from the north is moving southward.
Within the next 24 to 48 hours, by the early morning of October 1st, this cold front will reach the northeastern region, followed by the North Central, some parts of the northwestern region, and the central provinces. Winds will shift to the northeast, reaching level 3 in inland areas and levels 4-5 along coastal regions.
This cold front will cause cooler weather across the Northern and North Central regions, with cold conditions at night and early morning. The mountainous areas in the North will experience even colder conditions, with temperatures in high-altitude areas dropping below 16°C. Temperatures in Northern provinces and Thanh Hoa will range from 19-22°C, with mountainous areas between 17-19°C, and some places in high-altitude regions falling below 16°C. In Nghe An and Ha Tinh, temperatures will drop to 20-23°C.
In Hanoi, from the night of September 30 to the morning of October 1, there will be showers and thunderstorms. On the night of October 1, the weather will turn cooler, with temperatures between 21-23°C. Between October 2-4, the lowest temperatures will range from 19-21°C.
On the Gulf of Tonkin, from noon on October 1, northeast winds will strengthen to level 6, with gusts up to levels 7-8, causing rough seas and waves reaching 2-3 meters in height.
From the night of September 30 to the morning of October 1, northern provinces, Thanh Hoa, and Nghe An will experience moderate to heavy rain, with some areas receiving 20-40 mm of rain, and localized areas getting more than 100 mm.
The weather agency warns that from the afternoon of October 1 to 2, areas from Ha Tinh to Thua Thien Hue will experience moderate to heavy rain and thunderstorms, with rainfall amounts ranging from 30-70 mm, and localized areas receiving over 150 mm.
Tornadoes, lightning, hail, and strong winds may accompany thunderstorms.
Heavy rains in localized areas could lead to flooding in low-lying regions, flash floods in small rivers and streams, and landslides on steep slopes.
These storms, with accompanying strong winds, lightning, hail, and tornadoes, could damage agricultural crops, uproot trees, and damage homes, infrastructure, and transportation networks.
Strong winds and high waves at sea may disrupt fishing and other maritime activities.
Overbought conditions also surely played a role in bitcoin’s Monday decline.
After a quick roughly 14% run higher following the U.S. Federal Reserve’s 50 basis point rate cut nearly two weeks ago, conditions seemed ripe for something to set off a sizable selloff in bitcoin (BTC), and the selection of a new prime minister in Japan over the weekend appeared to be the trigger.
In a surprise choice, that country’s ruling party selected Shigeru Ishiba to be its next prime minister. Without getting too much into the inside baseball of Japan’s Liberal Democratic party, it’s commonly believed that Ishiba is supportive of the Bank of Japan’s plan to return monetary policy to normalcy, i.e. higher interest rates. Following his selection as prime minister, Ishiba called for snap elections to be held in late October.
Recall, it was the BOJ’s very modest rate hike in late July that caused a violent unwind in the so-called yen carry trade and subsequent global panic in financial markets, sending bitcoin plunging from about $70,000 to below $50,000 in the space of a few days.
The selling was so ugly that the BOJ had to send out a former official to try and calm markets by saying the bank wasn’t going to hike rates again in 2024.
The selection of Ishiba over the weekend, however, triggered another rise in the yen and a quick 5% decline in Japan’s Nikkei stock average, with the selling apparently spreading to bitcoin, which quickly fell from about the $66,000 to as low as $63,300. It’s bounced to $63,800 at press time, down about 3% from late Friday.
European stocks are lower by roughly 1% at midday and U.S. stock index futures are showing just modest losses.
Bitcoin vulnerable after big run higher
Prior to the weekend action, bitcoin had been enjoying a strong bull run since the Fed slashed its benchmark interest rate by 50 basis points in mid-September. Helping the move was China launching its own wave of monetary and fiscal stimulus to help boost that country’s economy and markets. After enjoying its best week in more than a decade, the Shanghai Composite soared another 8% on Monday.
A number of indicators late last week, pointed to overbought conditions, among them, said CoinDesk analyst James Van Straten, were perpetual funding rates for bitcoin futures. Van Straten noted that they’ve risen to levels near those seen just prior to the late July and last August selloffs.
Looking ahead
This week brings the start of a new month and with it a number of key economic reports and central bank talk. Later on Monday, Fed Chair Jerome Powell could comment on the economic and monetary policy outlook in a speech at the annual meeting for the National Association for Business Economics.
Tuesday and Thursday will see U.S. manufacturing and service sector reports from the Institute for Supply Management (ISM) and the main event will be Friday with the September jobs report.
The data could go a long way in influencing the Fed’s rate decision at its next policy meeting in early November (right after the presidential election). At the moment, markets are giving about a two-in-three chance of a 25 basis point Fed rate cut, according to CME FedWatch. It was the Fed somewhat surprisingly moving 50 instead of 25 at its September meeting which triggered this most recent bull move. A sizable change in the November rate cut odds might again affect the price path.
This marks the first U.K. conviction for running a crypto ATM operation.
Olumide Osunkoya pleaded guilty to illegally operating a crypto ATM network, according to a press release by the Financial Conduct Authority (FCA) on Monday. This marks the first U.K. conviction for running a crypto ATM operation.
Osunkoya, 45, pleaded guilty to five offenses at a hearing held on Monday at Westminster Magistrates’ Court.
Earlier this month he was charged by the FCA for running crypto ATMs that processed british pounds 2.6 million ($3.4 million) in crypto transactions across various locations without having the required registration.
“The court heard evidence that those likely committing money laundering or tax evasion were using his machines,” the press release said.
Sentencing for the offenses will take place at Southwark Crown Court at a date that will be confirmed.
The FCA has been clamping down on illegal crypto ATMs. In May last year the FCA alongside the police carried out raids across sites in Exeter, Nottingham and Sheffield. By the end of 2023 it had carried out 34 inspections.
Over the last few years, Vietnam has turned out to be one of the most attractive hubs for SMEs wanting to leverage their growth. Being one of the southeast’s booming markets, Vietnam has overtaken itself as a go-to destination for individuals, both investors and entrepreneurs, as well as companies to expand their exposure and sourcing opportunities.
Vietnam’s thriving economy, strategic location, and business-friendly environment attract entrepreneurs seeking opportunities in various sectors.
1. Rapidly Growing Economy
The country has a record of constant economic growth packed with a 6-6.5% GDP rate growth for 2024. This consistent quality is not only a result of the manufacturing, exports, and domestic consumption of the country’s economy, but it is also the ultimate factor underpinning the country’s economic development. Vietnam’s stable prices, exchange rate, and increasing foreign investment demonstrate its strong appeal as a business destination.
For the Vietnam, the growing middle class, migration to urban centers, and government impelled economic reforms are plus points in its growth success. The state’s determination to create a business market, oriented by the market, e.g. through reforms in taxation, investment, or even trade policy, is unchanging thus attracting foreign businesses too.
2. Favorable Business Environment
A big advantage of investing in Vietnam is its good business environment due to low costs of labor, taxation and a number of preferences trade agreements. Vietnam joined many free trade agreements (FTAs), including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and EVFTA with the European Union. This allows businesses to lower tariffs, while expanding market access for their own products.
In this video, a foreign entrepreneur shares insights on doing business in Vietnam and his involvement in import / export from Vietnam to multiple countries.
Vietnam possesses an increasingly skilled a large number of young and dynamic people in the country are available for joining the workforce at a low cost, making it a profitable place for manufacturing especially of export oriented businesses of different industries such as electronics, textiles and footwear. Vietnam government’s pro-business policies such as tax holiday for several years and incentives to the foreign investors have made easy setting up of foreign venture.
3. Strategic Location
Vietnam’s position in Southeast Asia makes it the perfect gateway for businesses in import-export activities. Being a member of Association of Southeast Asian Nations (ASEAN), Vietnam has the best preferential trade access to a market of more than 650 million people. Not only that, with its boundary connected to China – one of the largest markets in the world and other big players such as Japan and South Korea, you would have an added advantage in global business.
Vietnam’s advanced shipping ports, expanding infrastructure, and improving access through highways, railways, and airports makes the country an ideal trade and logistics gateway. Its geographical location offers businesses the opportunity to effectively manage their supply chain as well as effortlessly reach markets in Asia and beyond.
4. Diverse Business Opportunities
Vietnam is one of the fastest developing economies in the world and with that come several business areas where expats continue to be in high demand.
Vietnam is one of the largest global exporter of electronic, textiles and footwear. With competitive labor cost and increased industrial zone for production and export, Vietnam emerges as one of the attractive location for manufacturing and export.
The technology sector is on fire with e-commerce, fintech and software development undergoing hyper-growth. Combine Vietnam’s young, tech-savvy population and surging digital economy and it becomes an attractive market for tech startups and investors.
On the other hand, Vietnam has also become an attraction for renewable energy projects such as solar energy, wind, hydro-power and biomass thanks to the policies of the government. The incentives being provide by the government for development of renewable energy makes this sector one of the most attractive areas for investment.
Vietnam is one of the world’s largest exporters of agricultural products so there are plenty of opportunities in agribusiness, food processing and export for the taking.
The fast growing consumer base and middle class in Vietnam are like the perfect garden for the businesses dealing with wholesale, retail, and distribution.
Vietnam is for sure one of the most attractive places in South East Asia to do business. It has a fast growing economy, qualifies as the best environments for businesses and is situated in an ideal location. Foreign entrepreneurs and investors have a really great place to enter business in Vietnam.
It is not plain sailing with the issues to understand the rules and adapt, as well as logistically, but the opportunity – cost balance of doing business in Vietnam remains very much in favor of the positives. Given its further expansion and modernization, Vietnam remains an extremely promising destination of global business.
