HSBC: Vietnam has growing attractiveness as business destination

A corner of HCM City (Photo: VNA)

Hanoi (VNA) -  Vietnam’s effective COVID-19 control measures to date and gradual yet prudent reopening has enhanced its attractiveness as a business destination, HSBC said in its Navigator report themed “Building Back Better”, released on July 21.

The report was the result of a survey of more than 1,400 companies in the Asia-Pacific. 

Tim Evans, CEO of HSBC in Vietnam said that the COVID-19 pandemic has forced businesses into an unprecedented crisis, however amongst the hardship it has become increasingly apparent that technology is the ultimate solution to help businesses and entire economy-survive periods of extended social distancing. 

Those companies that have invested and built their strategies around digitalisation are the ones most set up to navigate the real-time challenges, to adapt and prosper in today’s dramatically reshaped world, he said, adding that companies in Vietnam have harnessed the power of technology to respond at pace. 

Besides, the EU-Vietnam Free Trade Agreement ratified in June placed increased importance on businesses redesigning their supply chains to meet the EU’s requirements and take full advantages of the opportunities the trade deal offers. 

At the same time, COVID-19 has served as a warning signal for many, including those in Vietnam, to diversify their supply chains to protect from centration risk on one specific market.

Businesses which are closely monitoring their supply chains to ensure their operations are more resilient and less susceptible to disruption from external shocks, the report says. 

According to Navigator, 54 percent of Asian companies say they will increase the transparency and traceability of their supply chains. 

Meanwhile, over one-third of Asian firms will review supply chain partners to ensure they are able to weather future challenges./.