Digital banking software provider Backbase recently concluded its ENGAGE Asia 2024 event in Ho Chi Minh City. The ENGAGE Asia 2024 event focused on the evolving role of AI in banking and customer-centric innovations aimed at driving return on equity (ROE) and advancing the next phase of Banking 4.0. The event highlighted Backbase’s growing presence in Asia, marked by the launch of a global AI Centre of Excellence in Ho Chi Minh City. It also highlighted success stories from banks like Techcombank, EastWest Bank, ABBANK, OCB, and HDFC Bank, showcasing how they are using Backbase’s platform to improve customer engagement…
Author: Fintech News Vietnam
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Commonwealth Bank of Australia (CBA) has announced the sale of approximately 5% of its shares in Vietnam International Commercial Joint Stock Bank (VIB). The transaction, executed on 24 September 2024, is expected to generate gross proceeds of approximately A$160 million (US$ 109.5 million) for CBA. CBA has been a shareholder in VIB since 2010, contributing to its development as a joint-stock commercial bank in Vietnam. While CBA believes in VIB’s further growth potential, the partial divestment aligns with the group’s strategy to focus on its core banking operations in Australia and New Zealand. The sale is expected to marginally improve…
Zalopay, the financial arm of Vietnamese tech giant VNG, is pivoting from an e-wallet to become an open payment platform model, according to DealStreetAsia. This shift will enable Zalopay to offer a wider array of financial services, including lending and investment products, as the e-wallet landscape faces growing competition from mobile banking apps and the VietQR system. With an emphasis on expanding its financial product suite, Zalopay is set to introduce installment payments and quick loans by Q3 2024. CEO Le Lan Chi shared that the platform’s lending portfolio, which includes a Buy Now, Pay Later (BNPL) option in partnership…
The State Bank of Vietnam (SBV) has recently alerted the public about a series of phishing scams involving imposters posing as the central bank. Fraudsters are impersonating the SBV via email, attempting to trick individuals into clicking on phishing links under the guise of updating their biometric information for banking purposes. These deceptive emails often cite the SBV’s Decision No. 2345/QD-NHNN to appear legitimate and urge recipients to update their information before 30 August 2024. They even include a fake email address, “no-reply@sbvgov.site”, and attach the full text of the decision to further enhance their credibility. The SBV has confirmed…
A new report by Reputa, an online reputation monitoring system provided by Viettel, Vietnam’s state-owned telecommunications giant, offers an analysis of the country’s fintech sector and provides rankings of the most reputable fintech companies in Vietnam based on their online reputation and reach. Released on July 16, 2024, the report examines key trends, developments, and prominent players in Vietnam’s fintech industry, drawing on extensive data collected from social media interactions and covering 46 fintech companies. This analysis includes 54,976 discussions from June 1 to June 30, 2024, to provide a robust picture of user sentiments and industry trends for June…
Vietnam’s HDBank has launched its fully digital bank, Vikki Digital Bank, powered by Thought Machine’s Vault Core technology. The new digital bank has already onboarded over 15,000 active users and processes US$50 million in monthly transactions. Vikki Digital Bank, developed by Galaxy FinX in partnership with HDBank, involved collaboration with leading industry partners such as Thought Machine, HyperVerge, Amazon Web Services (AWS), Mastercard, and Genesys. The bank offers a wide range of services including daily banking (current and savings account, debit cards, QR payments, bill payments, term deposits), lending (credit cards, overdrafts), and rewards programmes like Vikki Deals and Vikki…
Digital banking software provider Backbase has launched its first global Center of Excellence (COE) for Artificial Intelligence (AI) in Ho Chi Minh City, Vietnam. The COE, led by Backbase’s Head of AI Chris Shayan, will focus on developing AI solutions to enhance customer engagement and business outcomes in the banking sector. Located near Saigon Center in District 1, the COE will host a team of engineers specialising in web, mobile, backend, AI, and machine learning, and large language models (LLM). This initiative reflects Backbase’s focus on Asia, utilising Vietnam’s growing digital landscape and skilled workforce. Under Shayan’s leadership, the COE…
Vietnam’s Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) has announced a partnership with OpenWay, a payment technology provider, to replace its existing card management and payment systems. This initiative is a significant step in BIDV’s comprehensive digital transformation strategy. OpenWay’s Way4 digital payment software platform will be at the forefront of this upgrade, aimed at enhancing BIDV’s infrastructure and streamlining its operations. The bank plans to overhaul its legacy systems, which are currently bogged down by fragmentation and the complexities of managing various ancillary applications. With the introduction of the Way4 platform, BIDV intends to expedite…
Vietnam’s Southeast Asia Commercial Joint Stock Bank (SeABank) and Visa have entered into a strategic agreement to enhance digital payments. This partnership aims to improve SeABank’s payment solutions, data capacity, and expertise, advancing their payment services strategy. Visa and SeABank will focus on five key areas namely enhancing the customer experience on digital platforms, improving card products and services, optimising the card service ecosystem, boosting marketing and communication efforts, as well as strengthening risk and fraud management. With Visa’s support, SeABank has introduced new card lines such as Signature, SeATravel, SeALady, SeAEasy, SeAGolf, and BRG Elite, tailored for different customer…
Moca Technology and Services Joint Stock Company (Moca) has announced that it will cease providing its e-wallet services on both the Moca and Grab applications in Vietnam, effective 1 July 2024. The Moca wallet, integrated within the Grab app, has been a popular payment method for Grab users in Vietnam. Despite this change, Moca will remain a strategic partner for Grab’s online payment activities, offering intermediary payment services across the Grab ecosystem in Vietnam. Grab users will continue to have access to cashless payment options through bank cards, ZaloPay accounts, and MoMo accounts. Moca and Grab said that it will…
Payments giant Visa has announced a new partnership with three of Vietnam’s leading e-wallets—MoMo, VNPAY, and ZaloPay—to enhance the payment experience for its cardholders at small and medium enterprises (SMEs). This collaboration allows Visa cardholders to use their cards to pay using QR codes provided by these e-wallets, aiming to drive Vietnam’s shift towards a cashless society. By integrating Visa into these popular e-wallets, the partnership aims to benefit both businesses and consumers. SMEs can reportedly expect increased sales, an expanded customer base, and improved customer experiences due to the additional digital payment options. Meanwhile, consumers will benefit from existing…
Vietnamese lender Sacombank plans to sell a 33% stake by the end of the year, aiming to raise between US$840 million and US$880 million, according to DealStreetAsia. The bank, listed in Ho Chi Minh City, intends to offer the shares at 34,500-36,000 dong (US$1.36-US$1.40) each, significantly higher than the current trading price of 28,400 dong per share. This move values the bank at approximately 53.5 trillion dong (US$2.1 billion). The sale faces significant hurdles due to regulatory limits on foreign ownership in Vietnamese banks, capped at 30%. Currently, foreign investors hold more than 23% of Sacombank’s shares, including major stakeholders…
Banking software company Temenos has announced that Vietnam Public Commercial Joint Stock Bank (PVcomBank) has launched PVConnect using Temenos Digital on Amazon Web Services (AWS). This new mobile banking platform PVConnect, which is powered by Temenos Digital, aims to enhance the banking experience for over one million customers. The Temenos platform’s agility enables PVcomBank to innovate continuously with low/no code tools and introduce new features regularly. Key features of PVConnect include electronic ID account opening, phone number-based account management, personalised savings products, bill payments, QR code money transfers, and a home screen widget for quick access to account information and…
Igloo, a Singapore-based insurtech firm, has announced new partnerships with Zalopay, Lotte Finance, FE Credit, and digital insurer OPES to broaden insurance access in Vietnam, particularly for underinsured communities. These collaborations aim to introduce tailored insurance products that cater to the specific needs of modern Vietnamese consumers. Through its partnership with Zalopay, Vietnam’s second-largest e-wallet network, Igloo will offer Phone Screen Protection. This initiative leverages Zalopay’s extensive network, which includes over 14 million regular users and more than 30,000 merchant partners. Alongside Lotte Finance, Igloo is set to launch two innovative insurance products: Income Protection Insurance and Car Physical Damage…
Vietnamese e-wallet ZaloPay and CIMB Bank, a highly regarded bank in Southeast Asia, recognising the challenges posed by the global economic downturn, have partnered to offer a new fixed deposit product in Vietnam amidst significant labour market issues. The unemployment rate for young adults aged 15-24 is at a high of 7.62%, compared to the overall average of 2.28%, and labourers’ wages have stagnated at around VND 7.1 million (approximately US$ 280). Financial advisors commonly suggest prioritising savings, reducing unnecessary expenditures, and wisely investing to navigate these uncertain times. Recognising these recommendations, ZaloPay and CIMB Bank’s partnership aims to empower…
South Korea’s JB Financial Group has announced a strategic acquisition of a minority stake in Infina, a retail investing application based in Vietnam. Under the terms of the partnership, JB Financial Group will initially acquire 3.9 percent of Infina’s shares, with the potential to increase its stake to approximately 5 percent. This expansion is contingent on the success of the collaborative efforts between JB Securities Vietnam and Infina. According to The Korea Herald, this investment is part of JB Financial Group’s plan to extend the customer reach of its securities division, JB Securities Vietnam, within the rapidly growing market. JB…
SCBX, the financial technology business group of Siam Commercial Bank, has inked a deal to fully acquired consumer finance firm Home Credit Vietnam for US$860 million in a bid to expand its footprint in the region. The transaction is set for completion in the first half of 2025, pending regulatory approvals. Established in 2008, Home Credit Vietnam offers a wide range of loan products with over 15 million customers and a network of 14,000 point-of-sales locations, reporting a net profit of VND 1,320 billion in 2022. According to SCBX, Home Credit Vietnam owns approximately 14% of the market share as…
1Long, a fintech startup based in Vietnam, has raised US$500,000 in a pre-seed funding round supported by a consortium of investors, including Iterative, Monk’s Hill Ventures, R2VP, and Orionis Capital. With this new funding, 1Long plans to invest in technological advancements, forge strategic partnerships with asset managers and financial institutions, and grow its team. Looking ahead, 1Long is set to diversify into investment options such as stocks, bonds, real estate, and to offer additional services like retirement and tax planning. The company said that it is also committed to contributing to community welfare through charitable and environmental initiatives, targeting both…
Vietnam International Bank (VIB) has implemented the latest version of the Temenos Core Banking solution, powered by Amazon Web Services (AWS). This collaboration also includes ITSS, a Swiss technology and IT services firm. The upgrade to Temenos’ R23 Core Banking version represents a leap towards modernising VIB’s digital infrastructure, employing both AWS cloud and VIB’s own private cloud. This initiative is part of VIB’s broader strategy to enhance its banking services, focusing on mobile access, cloud computing, and artificial intelligence (AI) to improve customer experience and operational efficiency. The move is aligned with VIB’s “Mobile First, Cloud First, AI First”…
Validus Vietnam, a financing platform for small and medium-sized enterprises (SMEs), has secured an investment from Japan’s Reazon Holdings. The sum was not disclosed. This investment into VGrowth Development Co. Ltd., commonly known as Validus Vietnam, signifies a strategic move to support SMEs in the region, which are often hindered by limited access to traditional funding sources. Through this investment, Reazon Holdings said that it will actively support Validus Vietnam’s business growth, including support for financing procurement through its group network. The company added, “Reazon Holdings has decided to invest in Validus Vietnam based on their evaluation of the high…