Vietnam’s tourism industry poised for strong acceleration

A view of Bai Doi, Yen Island. (Source: Screenshot from the tourism promotion video “Nha Trang - Khanh Hoa: Touching Your Heart!”)

Hanoi – A series of positive developments since the start of the year has sparked optimism for the tourism sector, with industry insiders anticipating a booming season ahead.

One of the most encouraging signs is the return of Russian tourists, a key market that has been absent for the past three years. In March alone, 12 charter flights are scheduled to bring Russian visitors to Nha Trang, a beach city in the south-central coastal province of Khanh Hoa. The frequency of flights is expected to increase to 50-55 per month between April and June, and up to 90-100 flights from July onward. Russia has traditionally been a major source of visitors to Khanh Hoa, but direct flights were suspended in 2022 due to the COVID-19 pandemic. Since then, Russian travelers had to transit through China or Kazakhstan, making the journey less attractive. The return of direct flights is revitalising shopping, dining, and entertainment services in Nha Trang and other areas.

Adding further momentum to the sector, Prime Minister Pham Minh Chinh recently instructed the establishment of free trade zones (FTZs) in the central city of Da Nang, and Can Gio district in Ho Chi Minh City. In a related move, the People's Committee of Long Thanh district in the southern province of Dong Nai has proposed setting up an FTZ near the Long Thanh International Airport and Phuoc An port. Meanwhile, the upcoming completion of the North-South expressway will enhance road travel options for visitors.

Two Russian tourists take photos at the Ponagar Tower relic site in Khanh Hoa province. (Photo: VNA)

Cruise tourism has also seen strong growth this year, with major tour operators welcoming tens of thousands of passengers to popular destinations like Ha Long Bay, Nha Trang, Phu Quoc, and Ho Chi Minh City. The MICE (Meetings, Incentives, Conferences, and Exhibitions) sector is thriving as well, highlighted by recent large-scale corporate trips from top Indian businesses. Vietnam has also become a top destination for lavish Indian billionaire weddings, with high-profile ceremonies held in Ha Long Bay and Phu Quoc.

In 2024, the tourism industry generated approximately 840 trillion VND (32.96 billion USD) in revenue, up 85 trillion VND compared to 2019, the year before the pandemic. Vietnam’s tourism sector has fully rebounded, with an ambitious target of welcoming 22-23 million international visitors and 120-130 million domestic tourists in 2025, with total revenue expected to reach 980 trillion to 1.05 quadrillion VND./.