Vietnam News Roundup: September 19 to September 25

In this week’s Vietnam News Roundup: FLC retakes Bamboo Airways after failed restructuring; property credit hits US$155.2b; SBV holds rate at VND 25,186; gov’t eyes VND 10m football betting cap; Lotte exits Thu Thiem, Empire City disputes fees; Hanoi housing crisis deepens; VN-Index at 1,666 and more.

In case you missed it…

Can/Should the Philippines Emulate Vietnam’s Export-led Growth Model?

Last week, an opinion piece in Business World suggested Vietnam’s export-led economic development model could be used as a blueprint for the Philippines, with a focus on Vietnam’s lower costs, recent regulatory reforms, and infrastructure and logistics. Digging a little deeper, however, Vietnam’s growth model has depended largely on a number of factors that may be difficult to replicate elsewhere in the world. Read More »

Aviation news

Vietnam’s Bamboo Airways returned to previous owner after failed restructuring

FLC Group has retaken ownership and management of Bamboo Airways after the airline’s restructuring, under one of its shareholders, Le Thai Sam, failed to deliver results → view source.

Sam admitted his investor group lacked the financial and managerial capacity to sustain operations, describing aviation as a “very unique industry” with challenges beyond shareholder control.

This comes after several leadership changes and the slow dismantling of the airline, with its fleet shrinking from 30 aircraft serving 66 routes to just 7 aircraft on 12 domestic routes.

See also: Vietnam’s Aviation Industry: State of Play 2025

Banking and finance news

Vietnam’s property credit hits record US$155 billion

Vietnam’s outstanding property credit reached VND 4,100 trillion or US$155.2 billion by the end of July 2025, up 17 percent from end-2024 and accounting for 23.68 percent of the economy’s total debt, according to central bank data and reported by The Investor → view source.

Key details:

• Structure of loans: Real estate trading credit stood at VND 1,790 trillion (US$67.75 billion), up 23 percent year-on-year. Consumption-related housing loans reached VND 2,280 trillion (US$86.29 billion), up 12.4 percent.
• HCMC concentration: Property credit in Ho Chi Minh City totalled VND 1,090 trillion (US$41.26 billion), 27.5 percent of the city’s total outstanding loans.
• Bad debt ratio: Sector non-performing loans were at 2.43 percent.
• Growth pace: Credit growth outpaced the 13 percent seen in the same period of 2024.
• Expert warnings: Economists urged caution, citing risks of over-concentration, speculative lending, and potential bad debt spikes if liquidity weakens.

See also: Real Estate in Vietnam 2025: Trends, Challenges & Outlook 

Local currency strengthens against the greenback

The State Bank of Vietnam (SBV) kept the local currency mostly unchanged, with the central exchange rate ending Thursday at VND 25,186, the same as last Thursday.

Conversely, the black market mid-market rate edged up from VND 26,490 to VND 26,540. 

The SBV, notably, continued to pump money into the economy. 

There were just under US$6.36 billion worth of reverse repos outstanding as of the close of business on September 25. This was down slightly from US$6.42 billion at the same time last week.

There were no new treasury bills issued; however, there were still US$65.7 million worth outstanding as of last night.

See also: How Low Can the Vietnamese Dong Go?

Gambling news

Vietnam considers raising football betting limit to VND 10 million per day

The Ministry of Finance has proposed lifting the daily betting ceiling on international football to VND 10 million (US$385), replacing the current cap of VND 1 million per product under Decree 06, VN Express has reported → view source.

This announcement comes despite no legal sportsbetting companies currently operating in Vietnam — guidelines for a pilot sportsbetting program were legislated back in 2017, but were onerous and restrictive and never materialised in a legitimate sports betting business.

That said, sports betting is still big business in Vietnam.

Vietnam gambling sites NET88 and DEBET, which should be illegal, reportedly inked deals with two English Premier League clubs last year to sponsor their shirts. 

Though how much they paid is unconfirmed, sports marketing agency, Sports Quake, says that front-of-shirt sponsorship in the Premier League can cost from US$50 to US$70 million for the most well-known teams and between US$5 and US$15 million for lower-tier teams.

See also: Gambling in Vietnam 2025: Laws, Casinos & Betting Landscape 

Real estate news

South Korea’s Lotte pulls out of Vietnam smart city project on long delays, soaring costs

Lotte Properties HCMC, a subsidiary of South Korea’s Lotte Group, has moved to terminate its long-delayed Thu Thiem Eco Smart City project in Ho Chi Minh City, VN Express has reported → view source.

The city’s Department of Finance confirmed it received a request from the developer on 20 August to end the investment contract, but said the company has yet to complete the legal procedures required.

Of note, the Korean business daily Alpha Biz, reported that Lotte only received a final decision on land-use fees in July 2025, almost eight years after its agreement with the city.

The fee was set at KRW 1 trillion (US$770 million), ten times higher than the company’s initial estimate. 

Over the same period, rising costs pushed the overall budget from KRW 1 trillion (US$770 million) to KRW 3.5 trillion (US$2.7 billion). 

Lotte sought to bring in external investors and negotiate more flexible payment terms, but city authorities insisted the full fee be paid upfront, Alpha Biz says.

See also: Why Vietnam’s “Market Principles” Land Pricing Policy Reversal Push is Worth Watching

Second project in Vietnam’s Thu Thiem raises concerns about excessive land use fees

Empire City Joint Venture Company Limited, developer of the Thu Thiem Observation Tower complex in Ho Chi Minh City, has petitioned the city government over a proposed additional land use fee of VND 8,819 billion (US$339 million), Tuoi Tre has reported → view source.

This comes after it was announced that South Korea’s Lotte would be withdrawing from a planned project in the same area after its land use fee obligations, among other costs, jumped exponentially.

See also: Commercial Real Estate in Vietnam

Housing prices in Hanoi surpass global capitals, affordability crisis deepens

A report from SHS Securities shows Vietnam’s housing affordability has reached one of the worst levels globally, with the price-to-income (P/I) ratio standing at 27.3 by mid-2025. 

This means the cost of an average apartment equals more than 27 years of household income if every dong were spent solely on housing, according to Nguoi Quan Sat calculations.

The publication notes that from 2014 to mid-2025, Hanoi’s per capita income doubled from VND 4.11 million to VND 8.3 million per month, but average apartment prices more than tripled from VND 25 million to VND 75.5 million per square metre. 

Prices rose nearly 12 percent annually, far outpacing income growth of 6.4 percent.

See also: Real Estate in Vietnam 2025: Trends, Challenges & Outlook 

Stock market news

VN-Index gains 1 point, foreign traders continue to exit

Over the last five trading sessions to the close of business on September 25, foreign investors net-sold US$307.3 million worth of HCMC Stock Exchange stocks. 

This brings the total net sold by foreign traders for the year-to-date to just under US$3.57 billion.

The VN-Index closed Thursday at 1,666.09 points, up .91 points since last Thursday.

See also: Explainer: What’s Driving Vietnam’s Stock Market Rally?

Foreign trader activity, last five trading days

VND = billions; US$ = millions; source: HSX

The week ahead

There are a handful of events coming up this week. For more information, see: Doing Business in Vietnam: Events Directory 2025.