International integration through the maturity of the domestic market

Lê Thanh Phong |

The Vietnamese stock market has gone through a 25-year journey, from 2 enterprises with a capitalization of only about 0.2% of GDP at the time of birth to over 1,600 enterprises participating in the market, with the capitalization of the stock and bond market reaching nearly 100% of GDP.

The achievements that the stock market has achieved show remarkable development in many aspects, effective operation, especially the ability to integrate internationally. From this point on, it is necessary to focus all means and resources to achieve the goal of upgrading the Vietnamese stock market from frontier to emerging market.

Vietnam is promoting many aspects of work to achieve the goal, first of all, completing the draft Decree amending Decree No. 155/2020 in the direction of publicizing and transparency the foreign ownership ratio and eliminating inappropriate regulations.

Reform institutions, perfect the legal framework for securities offering and issuance activities, and remove obstacles that hinder foreign investment activities. The legal framework is enough to ensure benefits for market participants, creating trust for the international community.

Please note, building nests for the big guys is not only in the fields of industrial production investment, science and technology, real estate, but also in the stock market. The participation of a large number of international investors, including " bloody" names, will be the votes for the Vietnamese stock market to upgrade.

The second important thing is extensive international integration, through the support and support from international organizations, the Vietnamese stock market meets international standards, requirements and regulations, thereby creating a basis for upgrading.

Third, listed companies must learn and build a high-quality, transparent information management system. Only by creating an international playground can professional investors be attracted, the reputation of the domestic market is enhanced.

Fourth is to prepare human resources and digital infrastructure. Must have good expertise and experience working in an international environment. Stretching the red carpet to welcome Vietnamese talents at home and abroad, including foreigners.

Upgrading the Vietnamese stock market from frontier to emerging market is an important step, not only attracting new capital flows, but also the self-upgrading of each listed company and the domestic market.

At that time, it was not domestic games, but truly integrated into the international playground with the "adulty" of the Vietnamese stock market.

Lê Thanh Phong
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