Record-low interest rates and limited alternatives to bank deposits are driving Vietnamese investors back to the stock market. As savings yields fall, many are shifting funds into equities, fueling hopes of renewed momentum after years of volatility.
Economists say Vietnam is entering one of its cheapest-money periods in a decade, even as access to credit remains constrained. While global economies still grapple with high interest rates, Vietnam’s policy priority has shifted toward growth. Analysts expect low borrowing costs to support corporate recovery and sustain stock market inflows through 2024.
This article is a condensed and translated summary (original in Vietnamese, VN) of a feature published in the April 2024 issue of Bloomberg Businessweek Vietnam.