Vietnam has been ranked among the fastest climbers in the 2020 Global Real Estate Transparency Index by JLL, moving to the ‘Semi-Transparent’ tier for the first time.

Vietnam has gained popularity in the global real estate market. Photo: Phung Huynh Vu Qui/Getty Images

Vietnam’s advancement is thanks to its regulatory reforms, enhanced market data, and sustainability initiatives, according to the report by JLL, a property consultancy company specializing in property services and investment management.

Vietnam has made further progress on the regulatory front with government bodies tightening their oversight to ensure rules and regulations being adhered to in areas such as land-use planning and lending standards.

The country’s strong economic prospects have drawn significant interest from both occupiers and investors, leading to increased competition and service offerings from property management companies.

Following on from steady advances made over the last two surveys, these changes have helped to push Vietnam into the ‘Semi-Transparent’ tier.

Top transparency improvers in 2018-2020 by JLL. Chart: JLL

Holding the 56th place , Vietnam’s ranking is largely contributed by the southern metropolis of Ho Chi Minh City. It has made further progress on regulatory enforcement and the improvements have enabled the city to be selected to the ‘Transparent’ tier.

Top improvers are concentrated in South and Southeast Asia including Thailand, Vietnam, the Philippines, and Indonesia.

These countries have made steady improvements in recent years, but need to address issues around corporate governance and regulatory enforcement if they are to progress into the ‘Transparent’ tier, JLL said in the report.

According to JLL's Chief Executive Officer Christian Ulbrich, the 2020 Index is launched at a time of massive economic and societal disruption, the pandemic has brought the issues of transparency and trust into even sharper focus as governments, businesses and communities grapple with the impacts of Covid-19.