It is highly possible for Việt Nam’s stock market to be upgraded to emerging market status in September, Deputy Minister of Finance Nguyễn Đức Chi said at the ministry’s press conference on Wednesday.   

Chi said that Việt Nam has met key requirements for its market to be upgraded, adding that efforts have been made to improve the regulatory framework and market operation to ensure alignment with international standards.

Among these efforts are the issuance of Circular 68/2024 on margin trading, which has received positive feedback from foreign investors, Circular 18/2025 amending regulations on clearing, settlement and information disclosure and the start of operations of the KRX trading system in May.

The State Securities Commission (SSC) has also collaborated with the State Bank of Vietnam to reduce administrative procedures for foreign investors under Circular 03/2025, especially by streamlining the account opening process.

SSC’s Deputy Chairman Hoàng Văn Thu, however, said it is necessary to create clearer regulations on central counterparty clearing models and to loosen foreign ownership limits in listed companies.

Việt Nam is committed to creating an open and transparent investment environment for foreign investors, Thu said.

According to Chi, index providers making the decision will also consider the actual experience of foreign investors, including in ease of access, market transparency and regulatory efficiency.

Upgrading Việt Nam's market status will unlock access to large sources of foreign capital, especially from index-tracking funds, he said, emphasising the importance of creating favourable conditions for foreign investors.

The decision by index providers is expected in September, he said. If achieved, this will mark a milestone for Việt Nam’s financial sector – a critical step towards developing the capital market as a financing channel for the economy and reducing reliance on bank credit.

“We remain committed to improving the investment environment and fostering market quality to meet emerging market standards,” Chi said. — VNS

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