Abu Dhabi’s ADQ signs agreement to explore investment opportunities in Vietnam

Partnership aims to deepen bilateral ties, says UAE Minister of Investment Mohamed Alsuwaidi

A worker tends to flowers by Hoan Kiem Lake in Hanoi. Vietnam is the third-largest economy in Southeast Asia. AFP

Abu Dhabi-based investment and holding company ADQ and Vietnam’s State Capital Investment Corporation, a sovereign wealth fund, have signed an initial agreement to explore investment opportunities in the Southeast Asian country.

The organisations will partner to assess potential co-investment opportunities that support Vietnam’s economic ambitions and align with its strategic development objectives, state news agency Wam reported on Saturday.

“This partnership aims to deepen the strengthening bilateral ties between the UAE and Vietnam, while also highlighting ADQ’s commitment to investing in high-growth markets that align with our strategic investment priorities,” said Mohamed Alsuwaidi, the UAE’s Minister of Investment.

“Vietnam’s rapidly expanding economy presents a unique opportunity to drive impactful investments in key sectors of mutual interest,” said Mr Alsuwaidi, who is also the managing director and group chief executive of ADQ.

Vietnam is the third-largest economy in Southeast Asia, after Indonesia and Thailand, and is projected to grow by 6.5 per cent in both 2025 and 2026, according to World Bank estimates.

In October, Vietnam and the Emirates finalised a Comprehensive Economic Partnership Agreement (Cepa), Vietnam’s first with a Middle Eastern nation, setting the stage for partnerships across key sectors, including oil and gas, renewable energy and agriculture.

As part of the deal, the UAE agreed to phase out tariffs on 99 per cent of Vietnam's exports, and Hanoi pledged to remove tariffs on 98.5 per cent of the UAE's exports.

Bilateral trade between the two countries totalled almost $4.7 billion in 2023, a 5.9 per cent increase from the previous year. In the first eight months of 2024, trade surpassed $4.47 billion, marking a 45 per cent jump compared to the same period in 2023, according to official data

“To further strengthen bilateral co-operation, we would like both sides to come together and organise dedicated business forums in specific sectors in the coming period,” said Nguyen Chi Thanh, chairman of the State Capital Investment Corporation.

“These forums would help foster connectivity and partnership opportunities, explore investment prospects, and develop joint investment mechanisms,” Mr Thanh said.

ADQ is pushing to expand its local and international portfolio of assets. With total assets worth $225 billion as of June 30, it has shareholdings in more than 25 companies across sectors including energy, utilities, food and agriculture, health care, pharmaceuticals, mobility and logistics.

Companies in its portfolio include Abu Dhabi National Energy Company - better known as Taqa- the Emirates Nuclear Energy Corporation and Abu Dhabi National Exhibitions Company (Adnec).

It has a significant asset base in transport and logistics, including Abu Dhabi Ports, Etihad Airways, Abu Dhabi Airports, Etihad Rail, Wizz Air Abu Dhabi and Abu Dhabi Aviation.

Last month, ADQ offered to fully acquire Aramex in a deal that valued the largest courier company in the Middle East at about Dh4.39 billion ($1.2 billion).