The Most Dynamic Country... Vietnam Ranks First in Southeast Asia

Ho Chi Minh City Ranks 3rd and Hanoi 7th in JLL's City Momentum Index Announcement

[Asia Economy Hanoi Joara, Guest Reporter] Ho Chi Minh City and Hanoi in Vietnam ranked among the top most dynamic cities in the world. They are recognized for continuously driving growth momentum in the Southeast Asia region.

According to the City Momentum Index (CMI) recently released by the global real estate services firm Jones Lang LaSalle (JLL), Ho Chi Minh City and Hanoi ranked 3rd and 7th respectively in the most dynamic cities category. Excluding India, which had four cities in the top 10, Vietnam had the second highest number of cities. This index measures urban dynamism by combining socioeconomic and commercial real estate indicators across 130 markets worldwide.

The high rankings of Vietnamese cities are interpreted as a result of benefiting from the spillover effects of the US-China trade dispute. In particular, they are praised for increasing dynamism by emerging as one of the most open economies in the world. Vietnam has raised its trade liberalization score by removing tariff and non-tariff barriers and fulfilling trade agreement commitments with multiple countries. It has already signed free trade agreements (FTAs) with 60 countries, paving the way to become a new global manufacturing hub. Vietnam aims for economic growth of over 7% this year, and its gross domestic product (GDP) is expected to grow at an average annual rate of 4% between 2023 and 2028.

In this CMI evaluation, 8 of the top 10 cities were from the Asia-Pacific region. Hyderabad, India took 1st place, with Bengaluru ranking 2nd, and Chennai and Delhi placing 5th and 6th respectively. Hyderabad was praised for its excellent smart bike and electric vehicle operating environment. Besides Vietnam, Manila in the Philippines ranked 8th in Southeast Asia. Nairobi, Kenya at 4th place and Silicon Valley, USA at 9th were the only cities outside the Asian region.

JLL commented that this evaluation shows that dynamism is continuously shifting from the West to the East. Jeremy Kelly, the company’s Director of City Research, said, "The dynamism of emerging Asian markets is evident in economic reforms, business growth, and infrastructure investment."