HANOI, March 12 – Singapore and Vietnam have agreed to strengthen their cooperative ties in various sectors including subsea cables, finance, and energy, marking an upgrade to Vietnam's highest diplomatic relationship level. This agreement was made during a visit by Vietnam's Communist Party Chief, To Lam, to Singapore.

With this development, Singapore becomes the third Southeast Asian country, following Malaysia and Indonesia, with which Vietnam has established a "comprehensive strategic relationship." In a joint statement made after a meeting between Lam and Singapore's Prime Minister Lawrence Wong, the leaders witnessed the exchange of six agreements centered around undersea cable development, digital connectivity, and cross-border data flows.

Southeast Asia serves as a pivotal connection point for cables linking Asia to Europe. To meet the rising demand for artificial intelligence services and data centers, Vietnam plans to launch ten new submarine cables by 2030. Recently, it was reported that Keppel, a Singaporean asset manager, and Vietnam's Sovico Group are in discussions regarding new undersea fiber-optic cables intended to boost the region's data center industry.

In April 2022, a preliminary agreement was announced between Viettel, Vietnam's state-run telecom company, and Singapore's Singtel to develop an undersea cable linking Vietnam with Singapore, although a construction contract is yet to be confirmed.

The two leaders also addressed issues surrounding green development, the expansion of industrial parks, and regional peace and stability. Singapore reaffirmed its commitment to support Vietnam in developing international financial centers, highlighting its role as one of Vietnam's top foreign investors, contributing approximately US$10.21 billion last year, or 27% of Vietnam's total foreign investment, according to official data.

For further details, visit the full articles on Reuters, The Jakarta Post, and Bangkok Post.