News about ASEAN

Speaking at the Fortune Southeast Asia 500 Summit, Deputy Finance Minister Le Tan Can said Vietnam's GDP grew 9.01% in the first nine months of 2026 and that the country is consolidating its position among ASEAN's top four economies. He said Vietnam is shifting toward growth driven by productivity, quality and high value added, with the private sector as the most important engine. He outlined five areas of cooperation for foreign investors: joint R&D and technology commercialisation, investment in priority sectors such as semiconductors, AI and clean energy, deeper linkages with domestic firms in value chains, high-quality human resources, and participation in building an international financial centre. He hoped foreign firms would see Vietnam not only as an investment location, production base or market, but also as a partner in research and innovation.

A session at the Fall Economic Forum 2026, organized by HCMC C4IR and the World Economic Forum on Oct. 27, examined barriers keeping ASEAN from fully capturing investment advantages. World Bank economist Sacha Dray said ASEAN has nearly 700 million people and an economy of about $4,000 billion, but intra-regional trade accounts for only about 22% of roughly $3,000 billion in annual trade, versus about 60% for the EU. ASEAN's regional value chain participation is about one-third of its global participation, compared with about 70% for the EU. Proposals include developing supplier networks, removing non-tariff barriers, and building cross-border industrial clusters. For Vietnam, Tiến sĩ Cấn Văn Lực said the capital market has not played its expected role in supplying medium- and long-term capital over three decades, and its ICOR has averaged over 6 over the past five years, now falling toward 4.5.

According to METI, Singapore's GDP grew 5.4% year on year in Q3 2026, above the 5.1% consensus forecast in a Bloomberg survey but below the 6.2% recorded in Q2; seasonally adjusted, it rose 1.1% from the previous quarter. Manufacturing grew 7.5%, slowing from 12.9%, supported by electronics and precision machinery, while construction rose 8.8% and services 5.2%. The wholesale, retail, transport and storage group expanded 8%, benefiting from Singapore's role as a trans-shipment hub. In comparison, Vietnam's GDP in Q3 2026 is estimated to have grown 9.95% year on year, well above Singapore's pace, and 9.01% for the first nine months.