With many solutions to maintain the macro-economic stability such as the interest rate reduction, the consumer price index (CPI) has been improved. Besides, the legal procedures and the documents to attract investment also had necessary attention that makesVietnamone of the most attractive markets in the region.Vietnamhas also become a destination for MICE tourism (Meeting, Incentive, Conference, Exhibition), aiming at advertising on the potential markets such as Europe andNorth America.
Particularly in 2011 Vietnamreached 130 trillion dong revenue from tourism sector, listing the total contribution of tourism sector to the country’s GDP to 246.8 billion dong, or 10 percent of GDP and it is expected to grow at the maximum of 5.3 percent by the end of 2012.
According to Kenneth Atkinson, general director of Grant Thornton LLP Co, which specialises in consultancy, research and investment management, Vietnam is still one of the leading economies amongst the most potential investment markets and has the fastest growth rate in the region and the world in the last decade with an average growth of 7.8%.
Raymond Clement, hotel consultancy department’s Executive director of Savills in Asia-Pacific area, said that currently, the Asian countries such as Hong Kong, Singapore, Japan, Indonesia and Vietnam are still attracting tourists strongly. Particularly in Vietnam, large hotel managers such as Eastin Hotel & Residences, ACCOR and some hotel brands like GTC-HANOi, Ibis and Pullman have taken part in the market recently. Therefore, the investment value in the late months in 2012 will continue growing.
However, besides the advantages, Vietnam still has many problems to solve as focus on developing advantaged products as well as infrastructure, simplify administrative procedures. Moreover, high inflation rate, instable interest rate and exchange rate and corruption are also a great barrier which has decreased the confidence and created difficulties for foreign investors in Vietnam.
According to Deniss Tan, Chief Executive Officer of Evely Group’s which specilses in hotel management and investment in Malaysia, in order to attract tourism development well, Vietnam government needs to build transnational, even transcontinental highways like Singapore and India. Additionally, Vietnamese businesses should have management system under the global standards and qualified and trained staff to meet the foreign investors’ requirements.