Ho Chi Minh City: Leveraging foreign affairs to drive development
WVR - In a rapidly changing world, a locality's competitiveness is measured not only by its economic scale or growth rate, but also by its ability to connect with the world, attract international resources, and translate international engagement into tangible development gains. In Ho Chi Minh City, the country's economic engine, foreign affairs are increasingly asserting their role as a key driver of growth, promoting investment, trade, and tourism while enhancing the city's international standing.
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| “Finance Roundtable” organized by VIFC-HCMC in New York, USA, on July 18, 2026. (Source: Ho Chi Minh City Department of Culture and Sports) |
This spirit is also consistent with the new thinking defined by the Central Government, shifting strongly from diplomacy that safeguards development opportunities to diplomacy that proactively creates new growth opportunities, and from "market integration" to "market creation."
Foreign affairs underpin economic growth
The city's economic performance in the first six months of 2026 demonstrates the increasingly close link between the effectiveness of foreign affairs and the dynamism of its economy.
GRDP increased by 8.55%; the industrial production index rose by 11.1%; total retail sales of goods and consumer service revenue reached over VND 967.5 trillion, up 13.2% year-on-year. Total import and export turnover exceeded USD 101.5 billion, an increase of 6.3%, further strengthening Ho Chi Minh City's position as Vietnam's leading international trade hub. Revenue from import-export activities contributed more than VND 92 trillion to the state budget. The most outstanding highlight is the foreign investment attraction. In the first half of the year, the city attracted more than USD 6.8 billion in FDI, an increase of 114.2% compared with the same period last year. The city licensed 888 new FDI projects, alongside hundreds of capital expansion and equity acquisition transactions. Notably, investment continued to flow into high-tech, innovation-driven and high-value-added industries, in line with the city's long-term sustainable development strategy.
Behind these figures lies a strategic shift in the city's approach to external affairs. Rather than relying solely on traditional investment promotion methods, the city is moving towards creating a more attractive investment ecosystem through institutional reform, infrastructure upgrades and stronger international connectivity. The acceleration of the Urban Development Law, faster public investment disbursement, the implementation of the International Financial Centre project, and the development of strategic infrastructure, such as Metro Line 2, the Can Gio International Transhipment Port, and the inter-regional logistics network, not only enhance the city's competitiveness but also demonstrate the city's commitment to improving the business environment and strengthening investor confidence.
At the same time, the "Go Global" Programme for 2026-2030 is being rolled out to help Vietnamese enterprises participate more deeply in global value chains, particularly in semiconductors, high technology and green manufacturing. This marks a transition from a strategy focused solely on attracting investment to one that cultivates a sustainable ecosystem for international cooperation.
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| Vice Chairman of the People's Committee of Ho Chi Minh City, Nguyen Cong Vinh, at a meeting with American technology companies and businesses in San Francisco. (Source: Ho Chi Minh City Department of Culture and Sports) |
Political diplomacy opens doors, economic diplomacy unlocks opportunities
In the context of deepening integration, the effectiveness of foreign affairs is increasingly measured by how successfully international partnerships translate into tangible development outcomes.
Political diplomacy continues to be strengthened through expanded partnerships with foreign local governments, more frequent high-level exchanges, and preparations for major international events, such as the third Ho Chi Minh City Friendship Dialogue and the 2026 Autumn Economic Forum. These platforms bring together policymakers, businesses and international investors to foster dialogue and cooperation.
Built on the political trust established over many years, economic diplomacy is now generating more substantive outcomes. The city is proactively reviewing its institutional framework, helping businesses meet ESG and CBAM requirements, strengthening partnerships with leading global technology companies, and mobilising resources from overseas Vietnamese communities.
The city is gradually building an integrated ecosystem linking foreign affairs with economic development, science and technology, and innovation. This goes beyond cross-sectoral coordination; it reflects a strategic shift from using foreign affairs to support development to leveraging foreign affairs as a catalyst for development. In this approach, foreign affairs directly create new opportunities for international cooperation, expand market access, and strengthen the city's global competitiveness.
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| Ms. Nguyen Thi Dieu Thuy delivers the opening remarks at the artistic performance launching the Ho Chi Minh City Culture and Tourism Festival on February 27, 2026. (Source: Ho Chi Minh City Department of Culture and Sports) |
Tourism: a showcase for international engagement
If economic diplomacy attracts investment, tourism is perhaps the most visible indicator of the broader impact of the city's foreign affairs strategy.
Recognising this, Ho Chi Minh City has proactively expanded cooperation with diplomatic missions, international organisations, tourism associations, airlines, travel companies, and international media to project the image of a dynamic, welcoming and culturally vibrant metropolis. This collaborative network not only helps attract international visitors but also deepens cultural exchanges, promotes trade and investment, and creates new business opportunities.
The effectiveness of this strategy is reflected in a series of prestigious international recognitions. The city has been named Asia's Best MICE Destination for six consecutive years (2020-2025). It has also consistently received accolades including Asia's Leading Business Travel Destination, Asia's Leading Festival and Event Destination, and Asia's Leading City Tourist Board, among numerous other international honours.
Beyond these achievements, the city actively participates in international cooperation networks such as TPO and AFECA, enabling it to stay abreast of emerging trends in urban, MICE and event tourism while broadening partnerships with cities, industry organisations and businesses worldwide.
Notably, the city views tourism not merely as a service sector but as a strategic instrument for enhancing its international profile, strengthening global partnerships and attracting investment. Signature events such as the Ao Dai Festival, the River Festival, and the ITE HCMC International Travel Expo serve not only as flagship tourism products but also as platforms connecting businesses, investors, airlines, media organisations, and local governments from both Vietnam and abroad.
By integrating political, economic and cultural diplomacy, Ho Chi Minh City has significantly enhanced the visibility and international appeal of its tourism brand.
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| A working session between leaders of the City People's Committee and U.S. technology companies and businesses in San Francisco. (Source: Ho Chi Minh City Department of Culture and Sports) |
Expanding development opportunities together
As it expands new development opportunities, the Ministry of Foreign Affairs continues to serve as a bridge between Ho Chi Minh City and its extensive network of international partners. Through Vietnam's more than 90 diplomatic missions abroad, the Ministry supports the city in promoting its investment potential and facilitating connections with multinational corporations, global financial centres, leading technology companies, and strategic international partners. In the tourism sector, its efforts to promote destinations and strengthen international market connectivity continue to enhance the city's global profile, attract more international visitors, and generate positive spillover effects for investment, trade, and people-to-people exchanges.
At a time when cities are increasingly competing on the strength of their global connectivity, the synergy among foreign affairs, economic development and tourism has become a distinctive competitive advantage for Ho Chi Minh City. An attractive destination naturally draws investors, businesses and international events; in turn, these investments and activities further enhance the city's reputation and global appeal. This virtuous cycle demonstrates that foreign affairs are no longer merely a supporting function but have become an integral pillar of the city's competitiveness and long-term growth.
With the continued support of the Ministry of Foreign Affairs and the city administration's strong commitment to reform and innovation, Ho Chi Minh City is well-positioned to expand its international partnerships, attract world-class talent, and strengthen its role as one of Vietnam's leading gateways to the global economy. This provides a solid foundation for the city's long-term ambition to become a global city and a leading regional hub for finance, commerce, innovation, services, and international exchange.
More importantly, this journey reflects a clear shift in the role of foreign affairs—from supporting development to actively driving it. By opening up new avenues for international cooperation, mobilising global resources, and enhancing competitiveness, foreign affairs have become a powerful engine of sustainable growth. As every diplomatic initiative creates new opportunities for investment, trade, tourism, and innovation, Ho Chi Minh City not only reinforces its position as Vietnam's foremost centre of international integration but also makes a meaningful contribution to the country's ambition to achieve rapid and sustainable development in the new era.
