A video display system for a vehicle includes a video display device disposed in the vehicle so as to be viewable by a driver of the vehicle. A camera is disposed at the vehicle and having an exterior field of view and operable to capture image data. The field of view of the camera encompasses a blind spot of the vehicle. A control includes a data processor. The control, responsive at least in part to processing by the data processor of data captured by at least one sensor of the vehicle, detects an object present exterior of the vehicle that is in the field of view of the camera. Responsive to detection of the object present exterior of the vehicle, the control controls the video display device to episodically and automatically display video images of the object that are derived from image data captured by the camera.