Ten years after establishing a strategic partnership, Vietnam and Singapore established a green-digital economic partnership in 2023, marking an important beginning that helps direct the transformation of both economies towards new potential areas such as digital economy, green finance, innovation, clean energy and climate change response. The two countries have built bilateral relations on solid principles, with trust, respect and mutual support driving Vietnam and Singapore towards a promising new phase of cooperation.
In recent years, the two countries have seen dynamic economic cooperation with substantial achievements in trade, investment and connectivity. Within ASEAN, Vietnam and Singapore are each other's fourth largest trading partners. In 2024, bilateral trade value reached more than 10 billion USD, up nearly 15% compared to 2023, which was higher than other partners in the region. Globally, Vietnam is Singapore's 11th largest trading partner while Singapore is Vietnam's 14th largest trading partner (according to 2023 statistics).
Singapore is currently the largest ASEAN investor and second largest among countries and territories investing in Vietnam, with nearly 4,000 active projects and total registered capital of more than 83 billion USD — mainly in manufacturing, real estate business, and electricity and gas production and distribution. Singaporean investors are present in 54 out of 63 provinces and centrally-governed cities in Vietnam.
One of the symbols of successful bilateral economic cooperation is the Vietnam-Singapore Industrial Parks (VSIPs), with 18 VSIPs across 13 provinces and cities, which have attracted nearly 19 billion USD in investment capital while creating jobs for more than 300,000 workers. Vietnam currently has more than 150 investment projects in Singapore, with total registered capital of more than 690 million USD, mainly focused on science and technology, information and communications.
The two countries have effectively maintained the Vietnam-Singapore Connectivity Ministerial Meeting (CMM), under the Vietnam-Singapore Connectivity Framework Agreement (CFA) through 18 meetings. This has helped to remove obstacles, review, and exchange orientations and solutions towards strengthening bilateral economic and trade cooperation.
With the goal of developing new potential areas, the two governments have agreed to upgrade the CFA (signed in 2005), with five pillars including energy connectivity, sustainable development, infrastructure, digitalisation and innovation, and connectivity in other areas. On this foundation, high-level leaders of both countries aim to promote cooperation in key and potential areas such as digital transformation, carbon credit exchange and cyber security.
According to Professor Vu Minh Khuong from the Lee Kuan Yew School of Public Policy, Singapore is also a potential market for food products; strengthening cooperation in this field not only helps Singapore ensure food security but also supports Vietnam's exports to many countries worldwide as Singapore has extensive experience in international trade.
Traditional cooperation areas such as education and human resource training continue to be highlights in bilateral relations. In 2023, the two sides signed a memorandum of understanding on educational cooperation, promoting twinning between educational institutions and providing each other with numerous scholarships for undergraduate and postgraduate training, while promoting exchanges between officials, lecturers and students.
Vietnam-Singapore relations are considered to be in an exceptionally good phase, with political trust becoming increasingly strengthened, close economic and investment cooperation, and connected people-to-people exchanges. This provides a positive foundation and impetus for the two countries to bring bilateral relations to new heights.
