In June 2018, the first summit between US President Donald Trump and Korean leader Kim Jong-un took place in Singapore, bringing huge profits to the city-state. Approximately US$ 15 million was spent to organize the event. The amount of Singapore collected from this event is dozens of times greater than the amount spent. According to a survey by Meltwater Media, the promotion value that the Southeast Asian country received from Trump - Kim Summit reached more than US$ 565 million.
Data released by STB revealed, thanks to the US-North Korea Summit, the number of tourists to Singapore last year increased by 6.2% compared to 2017, reaching 8.5 million visitors. Market research firm STR Global said at the time of the event - the second quarter of 2018, the occupancy rate of Singapore hotels hit 81%, far exceeding the average of 70% of the Asia Pacific region. This is also the highest occupancy rate since 2013. Revenue per room also rose by 7% year-on-year.
Experts say the Trump-Kim Summit will have a great influence on Vietnam's real estate sector.
Therefore, the next Trump - Kim Summit in Hanoi is expected to have a strong impact on Vietnam's economy in general and the local real estate industry in particular.
Neil MacGregor, Managing Director Savills Vietnam, said Vietnam has been attracting the attention of foreign investors. With an impressive GDP growth of 7.1% in 2018 and and average visitor number growth of 15.3% over the last 5 years, Vietnam is set to see an unforeseen additional boost in 2019. This can only be good for the economy and sectors ranging from manufacturing to tourism. Savills expects there will be some positive spill over for the real estate market.
More specifically, Nguyen Hong Son, Director Advisory Savills Hanoi, emphasized the development of tourism and hotel segments. The first Trump – Kim Summit brought a record increase of international visitors to Singapore last year. For the second summit, which will take place in Hanoi, demand for hotel rooms the city is expected to sharply increase during a few days around the summit due to the attendance of politicians and delegations, media, security and logistics personnel… This political event has been drawing attention from international media channels. The image of a hospitable, safe and peaceful Vietnam will be portrayed and broadcasted all over the world, thus creating a huge opportunity for our tourism industry to attract more international visitors.
