Central Group Accelerates $3.5B Vietnam Investment Push

Central Group is accelerating its investment expansion in Vietnam to capitalize on economic growth and rising purchasing power. The group has allocated a combined investment budget of $3.5 billion, comprising $1.5 billion for Central Retail Corporation (CRC) and $2 billion for Central Pattana Public Company (CPN), to expand shopping centers, retail operations, and related businesses while developing a business ecosystem to support long-term growth.

Wallaya Chirathivat, president of Central Group, stated that Vietnam remains one of the group's key strategic markets due to its exceptional economic growth potential in Southeast Asia, with projected GDP growth reaching 7.2% this year. This reflects strong market potential and expanding purchasing power, supported by a population exceeding 100 million, urban expansion, and growing consumer adoption of modern retail formats in both major and secondary cities.

Central Group began operating in Vietnam in 2012 through Central Retail Corporation (CRC), one of its core businesses. CRC currently operates across Food, Non-Food, and real estate, having invested approximately 49 billion baht in Vietnam to date. The next phase of investment allocates approximately $1.5 billion for CRC to support business expansion in Vietnam.

Central Pattana Public Company (CPN) is actively studying Vietnam's market potential, leveraging its international shopping center development experience. CPN has signed a memorandum of understanding with Sun Group, Vietnam's leading real estate and tourism company, to explore both independent project development and partnerships with new allies. CPN plans to invest approximately $2 billion to evaluate development opportunities in Vietnam, focusing on shopping centers and mixed-use projects in high-potential areas. The company will assess market viability by location, analyze competitive dynamics and consumer behavior, before finalizing project formats and scale.

Combining CRC's $1.5 billion and CPN's $2 billion investment plans brings the total investment budget to $3.5 billion to expand business and develop projects in Vietnam. Central Group emphasizes careful investment and market understanding across regions to align business models with Vietnamese consumer needs.

Wallaya stated that Central Group's Vietnam expansion focuses not merely on increasing branch numbers but on building an integrated ecosystem linking retail, real estate, and related businesses. CRC plans to expand across primary and secondary cities, while CPN is studying appropriate shopping center and mixed-use project formats for each region. CRC has operated in Vietnam through Central Retail Vietnam (CRV) since 2012, expanding across Food, Non-Food, and Property. Currently, it operates approximately 300 branches and aims to develop an ecosystem serving consumers across all life stages.

Olivier Langlet, chief executive officer of Central Retail Vietnam, noted that Vietnamese consumer behavior is changing beyond price and value considerations.