09 Feb, 2026

Vietnam Gives Foreign Investors Easier Access to Stock Market

AFP – Vietnam has moved to allow foreign investors to buy shares of local companies through international brokerages, the finance ministry has announced, removing a major hurdle to accessing the fast-growing Asian market.Vietnam’s benchmark stock index surged more than 40 percent last year, despite new 20 percent tariffs on exports to its top trading partner the United States.The easing of investment restrictions comes ahead of Vietnam’s expected upgrade to emerging market status by FTSE Russell, enabling the index provider to start including Vietnamese equities by September.Foreign investors no longer have to open trading accounts directly with a domestic securities company, the finance ministry said on Tuesday of the policy change.Tran Hoang Son, market strategy director at VPBank Securities Company in Hanoi, said the changes help “reduce technical barriers and administrative procedures… making the Vietnamese market more accessible to foreign capital”.“These reforms serve as necessary conditions to activate medium and long-term foreign capital flows,” he added.The new rules do not alter strict foreign ownership limits.FTSE Russell announced in October that it was reclassifying Vietnam as a “secondary emerging market”, a designation that will put it in the same group with China and India.The upgrade from “frontier” status, which is subject to an interim review in March, takes effect in September, the index provider has said.FTSE Russell first added Vietnam to its watch list for an upgrade in 2018, and the country has made sweeping market reforms since then, including scrapping some foreign ownership caps for publicly listed companies.It has predicted that promotion to emerging market status could unlock up to USD 6 billion in capital inflows.Vietnam has proved surprisingly resilient in the face of new 20 percent tariffs imposed by US leader Donald Trump, clocking eight percent growth last year, among the fastest in Asia.

04 Feb, 2026

Laos Targets Upper-Middle-Income Status by 2035 Through Growth and Fiscal Reform

The Lao government has reaffirmed its long-term development ambitions, linking sustained economic growth and tighter fiscal management to a goal of reaching upper-middle-income status by 2035.Speaking at the 2025 financial performance review and 2026 policy direction meeting on 29 January, Minister of Finance Santiphap Phomvihane told state media that Laos aims to reach upper-middle-income status by 2035, with per capita income of USD 4,600–5,000.For comparison, while official income data by province is not publicly available, Vientiane Capital currently records the country’s highest GDP per capita, at LAK 85.17 million (approximately USD 3,957), with levels in other provinces remaining significantly lower.According to the minister, the government plans to sustain average economic growth of 6–7 percent over the coming decade to meet this target. The strategy aligns with national socio-economic development plans and the country’s long-term development vision.To support the transition, authorities plan to restructure the economy by prioritizing seven key sectors identified as major growth drivers. These sectors are expected to improve productivity, expand the economic base, and raise household incomes.Fiscal reform will play a central role in the strategy. For 2026, state revenue is projected at 20.02 percent of GDP, supported by measures to broaden the tax base, strengthen revenue collection, reduce non-compliant tax exemptions, and expand the use of digital systems in tax administration. On the spending side, the government plans to tighten budget controls and strengthen oversight from planning through auditing.Past performanceOfficials also highlighted progress under the National Socio-Economic Development Plan (2021–2025). Laos recorded economic growth of 4.8 percent in 2025, with average growth of 4.24 percent over the five-year period. Inflation eased to around 8.8 percent, while macroeconomic stability improved and poverty levels declined in line with national targets.Building on these gains, authorities said sustained reforms, disciplined fiscal management, and steady growth in priority sectors will be critical for Laos to achieve its 2035 income goal and move into the upper-middle-income category.