This Southeast Asian country is set to see the sharpest spike in wealth growth over the next decade

Vietnam is set to see the sharpest spike in wealth growth over the next decade as it cements its status as a global manufacturing hub, according to a report by global wealth intelligence firm New World Wealth and investment migration advisors Henley & Partners.

The Southeast Asian country is forecast to see a 125% increase in wealth over the next 10 years,  Andrew Amoils, New World Wealth's analyst, told CNBC. This would be the largest expansion in wealth of any country in terms of GDP per capita and number of millionaires, according to the firm's analysis.

"Vietnam is an increasingly popular manufacturing base for multinational tech, automotive, electronics, clothing and textile firms," Amoils said. India, which is set to become the world's third-largest economy by 2027, takes the second spot with an expected 110% growth in wealth, he added.

Vietnam, which is home to 19,400 millionaires and 58 centimillionaires, is perceived as a relatively safe country compared with other nations in the Asia-Pacific region,Amoils said, which provides companies an extra incentive to set up manufacturing operations in the county.

The country's "strategic location" — sharing a land border with China and being close to major maritime trade routes — low cost of labor, as well as infrastructure supporting exports from the nation have all transformed Vietnam into a "prime destination" for international investment, McKinsey said in a report.

Vietnam's 2023 GDP growth slowed to 5.05% compared with a 8.02% expansion in 2022 on the back of dimmer global demand and stalled public investment. Manufacturing accounts for a quarter of its GDP.

Just 10 years ago, Vietnam's GDP per capita was around $2,190, which nearly doubled to $4,100, according to data