"Although not as expansive or bustling as Ho Chi Minh City, Hanoi offers a plethora of activities and attractions, from urban landmarks, chaotic markets for bargain hunters, awe-inspiring heritage structures like the Imperial Citadel - a UNESCO World Heritage site - and a vibrant nightlife that holds its own charm," the world report wrote.

Hanoi, with a population of 7.5 million, is full of wet markets and high-end shopping services. The pedestrian zones located around Hoan Kiem Lake and some streets in the Old Quarter, which are open on Saturday and Sunday, prove to be magnets for both Hanoians and tourists on the weekends.

Resonance Consultancy also recommended that outdoor and shopping activities are the main highlights of the capital.

The other two Southeast Asian representatives to make the Top 100 are Singapore, in fifth place, and Bangkok (Thailand) in 39th place.

London was named the world's best tourist city, followed by Paris and New York.

"The World's Best Cities rankings benchmark the overall performance of more than 250 cities around the world based on a wide variety of measures in order to identify the top 100 places to live, visit and invest," said Chris Fair, president & CEO of Resonance Consultancy.

The overall Best Cities rankings are determined by analysing the performance of each city for a wide range of factors which have historically shown positive correlations with attracting employment, investment, and/or visitors to cities.