Ho Chi Minh City (VNA) - Ho Chi Minh City is positioning itself as a modern regional megacity and a value-added services hub by leveraging new development space created after the administrative merger. This a strategy seen as a core growth pillar to strengthen its role in global service supply chains.
Tapping advantages for forming a regional service centre
Services remain the largest contributor to Ho Chi Minh City’s growth, accounting for around 51% of GRDP after the merger. With an area of more than 6,772 sq km, a population of about 14 million, and a GRDP of roughly 120 billion USD, comparable to many global megacities, it is well positioned to become a leading services hub.
According to Dr. Do Thien Anh Tuan from the Fulbright School of Public Policy and Management, rising population, income and living standards are creating a massive consumer market. The expanded city is expected to strengthen its role as a national distribution hub and trendsetter for consumption.
New development space also enhances advantages in logistics, maritime transport, international trade and tourism, he said. The city is home to 99 seaports, including the Cai Mep–Thi Vai deep-water port cluster, which is among the region’s leading ports capable of receiving the largest tonnage vessels. In 2025, the city’s port system handled more than 24 million TEUs of cargo, ranking eighth globally.
Dinh Xuan Khanh, Director of the Tan Cang Sai Gon Logistics Centre, said cargo throughput through the city’s port system is 14 million TEUs per year and could rise to 26–27 million TEUs by 2030 by adjusting international transshipment policies.
Cruise tourism logistics is also emerging as a potential sector, with increasing international cruise ships docking in the Ba Ria–Vung Tau area.
In its development orientation, the newly-established international financial centre (IFC) and the seaport system are expected to serve as a core hub, linking with the city’s strategic service centres, including maritime logistics, information and communications, science, technology and innovation, tourism, healthcare, and education.
Insiders said that if these opportunities are harnessed, Ho Chi Minh City has strong potential to become a leading services hub in Southeast Asia in the coming decades.
Addressing structural bottlenecks
Despite strong potential, the city’s service sector still lags behind major regional hubs. According to Vu Doan Thai Long, Senior Project Manager at Roland Berger Vietnam, although the services share of GRDP rose from 40% in 2010 to 51% in 2025, overtaking industry, it remains significantly lower than Bangkok (88%), Singapore (71%) and Kuala Lumpur (70%).
According to Long, limited connectivity infrastructure, the continued dominance of traditional business models, the large proportion of small and medium-sized enterprises, and relatively low competitiveness all remain significant barriers to the development of high-quality services.
In addition, the shift toward high-value-added service industries remains slow. The service economy is still heavily dependent on trade, real estate, and media-related sectors, rather than finance, technology, innovation, or cross-border services, he added.
In logistics and maritime finance, most value-added services, such as trade finance, marine insurance, freight brokerage and risk management, are still controlled by international financial centres. Around 80–90% of financial transactions related to trade and logistics are processed in Singapore or Hong Kong (China), while Vietnam retains only about 4–5% of maritime transaction value.
To address these challenges, the city's development plan has mapped out a clear roadmap and phased targets to transform Ho Chi Minh City into a major national and regional services hub centred on high-end, modern, and high-value-added sectors.
To 2030, the city is focused on strengthening foundations, improving institutions and removing bottlenecks, aiming to build a complete service ecosystem and enhance competitiveness at the Asian level. By 2035–2040, it targets becoming a leading service hub in Asia, before reaching global-level status by 2045. Services are expected to contribute 70–75% of GRDP by 2040.
Key solutions include institutional reform, leveraging special mechanisms, and improving the investment environment.
Economist Le Ba Chi Nhan stressed the need for the city to accelerate the development of IFC in Thu Thiem, establish regulatory sandboxes for fintech and green finance, cross-border finance service, and introduce tax and visa incentives to attract international experts.
Major infrastructure projects, such as Thu Thiem 4 Bridge, Thu Thiem–Long Thanh railway, Ring Roads 3 and 4, and modern logistics systems linked to Can Gio port and Cai Mep–Thi Vai port cluster, are being promoted to reduce logistics costs below 15% of GDP.
Human resources development is also identified as decisive factor, with priority given to fintech, artificial intelligence, logistics, healthcare and education under international standards./.
