What Do You Know About Chinese People's Bank Deposits In Vietnam?

What Do You Know About Chinese Depositing Money in Vietnamese Banks?

In recent years, as economic and trade ties between China and Vietnam have deepened, more and more Chinese individuals have begun to pay attention to Vietnam’s financial market-particularly its banking system. A notable phenomenon is that an increasing number of Chinese citizens are depositing money in Vietnamese banks, and even opening personal or corporate accounts there. This trend is driven by both economic incentives and the growing convenience of cross-border financial services. So, how exactly are Chinese individuals depositing money in Vietnamese banks? Why are they choosing Vietnam? And what issues should be taken into consideration?

1. Rising China-Vietnam Trade Spurs Cross-Border Financial Demand

According to data released by China’s General Administration of Customs in 2025, China has remained Vietnam’s largest trading partner for several consecutive years. In 2025, bilateral trade between the two countries exceeded USD 230 billion, representing a year-on-year increase of more than 10%. At the same time, an increasing number of Chinese companies are investing in Vietnam, particularly in the manufacturing, electronics, and agriculture sectors.

This growing economic interaction has made cross-border capital flows increasingly common. For Chinese businesses and individuals operating in Vietnam, opening local bank accounts allows for easier deposits and withdrawals, reducing currency conversion losses and improving capital efficiency. Some Chinese companies and individuals, who face foreign exchange controls domestically, also see Vietnamese banks as a way to manage their capital more flexibly.

2. Vietnamese Banks Become More Open to Foreign Clients

In recent years, Vietnam has gradually relaxed restrictions on foreign individuals and companies opening bank accounts. According to regulations from the State Bank of Vietnam SBV, foreigners with valid visas, long-term residency permits, or existing business relationships with local banks are eligible to open personal or corporate accounts. This regulatory shift has made it easier for Chinese citizens to access Vietnamese banking services.

Vietnam’s largest commercial bank, Vietcombank, for example, has introduced multilingual services and established partnerships with several Chinese banks. Some of its branches even employ staff fluent in Mandarin to assist Chinese clients with deposits, transfers, and loans. Foreign banks in Vietnam, such as HSBC Vietnam, also offer relatively comprehensive financial services to international clients.

3. Improved Convenience in RMB-VND Exchange

With the growth of border trade between China and Vietnam, the use of the Chinese yuan RMB in Vietnam’s border regions has become increasingly common. In provinces like Lạng Sơn, Cao Bằng, and Quảng Ninh-bordering China-RMB is widely accepted for small transactions. This has encouraged some Chinese merchants to deposit RMB directly into Vietnamese banks, avoiding the costs and risks associated with repeated currency exchanges.

Although the Vietnamese đồng VND is not a major global reserve currency, Vietnam’s economy has been growing steadily in recent years, with controlled inflation and improved currency stability. Some investors believe that depositing money in VND at Vietnamese banks can yield higher interest returns compared to RMB deposits.

4. Risks and Considerations Cannot Be Ignored

While depositing in Vietnamese banks may be attractive to some, there are also risks and challenges to consider. First, Vietnam’s financial regulatory system differs significantly from China’s, and its legal framework and risk prevention mechanisms are not yet fully aligned with international standards.

Second, the level of digital banking services varies widely among Vietnamese banks. Smaller institutions may lack robust cybersecurity protections and liquidity management systems. Vietnam also maintains strict foreign exchange controls. According to local laws, foreigners are not allowed to transfer large sums of money in or out of the country without providing legitimate proof of fund sources. Chinese individuals who fail to comply with these rules may face risks such as frozen assets or legal investigations.

5. Real-Life Examples How Chinese Businessmen Operate

According to a June 2025 report by Finance Economics Magazine, a Chinese businessman in Ho Chi Minh City who deals in electronic components shared that he deposits part of his RMB funds into Vietnamese banks and conducts transactions in VND. He said this allows him to avoid the need to convert to USD for every transaction, saving on intermediary fees. He also acknowledged the importance of understanding Vietnam’s foreign exchange regulations to avoid legal issues.

Another Chinese investor, who runs an agricultural business in Vietnam, opened a corporate account locally and uses cross-border banking cooperation between Chinese and Vietnamese banks to manage his capital flexibly. He believes that Vietnam’s banking sector is gradually opening up and that more Chinese investors may choose to conduct financial activities in Vietnam in the future.

Conclusion

The phenomenon of Chinese individuals depositing money in Vietnamese banks reflects the deepening economic ties between the two countries and serves as a microcosm of the diversification of cross-border financial activities. Whether for trade settlement or investment purposes, choosing to open a bank account in Vietnam is becoming a practical option for many.

However, given the differences in legal systems and financial environments, investors should carefully assess the risks and plan their capital flows rationally. Looking ahead, as China-Vietnam financial cooperation continues to deepen, this trend is likely to become even more widespread.