Proposal to invest $1.15 billion to build a 99-story IFC financial tower in Thu Thiem, Ho Chi Minh City

A proposal by REE Group, HFIC, and VinaCapital would invest $1.15 billion to build a 99-story financial tower in the Thu Thiem New Urban Area in Ho Chi Minh City. The project is expected to become a landmark of Vietnam’s International Financial Center. The investors plan to form a joint venture to develop, operate, and exploit the project.

The total investment is about $1.15 billion, with equity accounting for 20% (about $230 million) and the remainder funded through debt and customers.

Equity structure and planned funding

Under the proposed equity arrangement, REE Group would hold the largest stake at 43% (nearly $99 million), followed by VinaCapital at 24% (more than $55 million). Ho Chi Minh City Finance Investment Company (HFIC) is expected to contribute 33% of the equity through land use rights, which could be converted into office space if the value of commitments is exceeded.

Rationale for locating the financial center in Ho Chi Minh City

In an interview with VnEconomy, Mahesh Kini, Global Head of Treasury Management at Standard Chartered Bank, said positioning the financial center in the core of Ho Chi Minh City is a reasonable choice, creating a synergy between institutions and infrastructure.

Kini emphasized that a truly international operating environment is needed so enterprises can manage liquidity and cross-border capital flows efficiently. He also cited Ho Chi Minh City’s rise of 11 places in the Global Financial Centres Index 2026 as a positive signal reflecting growing confidence from international investors.

He noted that as global companies expand their presence in Vietnam—driving production, exports, and domestic consumption—liquidity increases. This trend is drawing interest from regional treasury hubs in Singapore and Hong Kong, as well as global finance teams in Europe and the U.S., and is pushing firms to move from pure treasury management toward working capital optimization.

Foundational factors for success

In the context of Vietnam’s shift from a manufacturing hub toward a capital management hub in the global value chain, Kini highlighted four foundational factors for international financial center development:

• A stable, transparent, internationally recognized legal framework.
• A consistent governance environment that builds confidence for international capital and presence.
• Human capital that develops domestic expertise while attracting international talent.
• A financial ecosystem comprising banks, fintech, law firms, and consulting.

Connecting Vietnam to global financial networks

Kini said that in building the International Financial Center, global financial institutions can act not only as providers of capital but also as connectors that help Vietnam integrate more deeply into the international financial network. He said banks can participate across areas including advising on operating models and delivering liquidity management, foreign exchange, and risk mitigation solutions.

He also pointed to the importance of linking domestic financial systems with regional and global cash pools via APIs to enhance the competitive capacity of Vietnam’s International Financial Center.

AI-driven changes in treasury management

Kini said AI adoption in finance and banking is driving changes in treasury management by addressing three core problems: speed, efficiency, and decision-making. He noted that treasury departments previously relied on manual processes and spreadsheets, while integrated AI systems can aggregate and analyze data from multiple accounts and currencies in real time to produce actionable insights.

As an example, he cited an AI solution for FX risk forecasting with accuracy above 90%, enabling proactive risk identification and reducing hedging costs amid market volatility.

Vietnam’s International Financial Center framework

Vietnam’s International Financial Center was established by a National Assembly resolution on June 27, 2025, under a model of “one center, two destinations” located in Ho Chi Minh City and Da Nang. In Ho Chi Minh City, the center has been officially operating since February 11, with strategic pillars including the aviation finance center, maritime finance, commodity exchange, and high-tech clearing and settlement.

Project details for the Thu Thiem financial tower

Within this broader framework, the proposed 99-story Thu Thiem financial tower—if realized—would be positioned as an anchor for a modern financial ecosystem where capital, technology, and institutions converge.

The project is planned on about 10,000 square meters of land in Thủ Thiêm, with 99 above-ground floors and 5 basements, and a total floor area of 400,000 square meters. The tower is envisioned as a multi-functional complex combining offices, retail, and long-term leases up to 70 years.

To accelerate implementation, the consortium proposes mechanisms under National Assembly Resolution 222, including allowing a housing-hotel mix, staggered land payment over three years, a reference land price of about 350 million VND per square meter, and extending land use rights to 70 years.