Moody’s Upgrades Vietnam’s Credit Outlook to Positive

JAKARTA — Rating agency Moody’s has upgraded Vietnam’s credit outlook from stable to positive. The decision was announced on Monday (4/5/2026), reflecting increased confidence in the country’s ability to strengthen its credit profile over the medium term. Moody’s has retained Vietnam’s rating at Ba2. The agency assesses that institutional quality and governance are beginning to improve following the government’s implementation of reforms since the end of 2024. This improvement is in line with assessments from other institutions. FTSE Russell has confirmed that it will upgrade Vietnam’s status from a frontier market to an emerging market in September. This status change positions Vietnam alongside countries such as India and China. Market-friendly reforms are the primary driver. Growth prospects also remain strong. Rating agency Standard & Poor’s, or S&P Ratings, assesses that Vietnam will be one of the fastest-growing countries in Asia after India through 2028. This situation indicates that Vietnam’s economy is becoming increasingly open. Growth opportunities remain significant, but fiscal pressures need to be managed.