Author: Fintech News Vietnam

Vietnam’s fintech industry gained pace in 2019. Last year, Vietnam ranked second in ASEAN in terms of fintech funding (36%), second only to Singapore (56%). The sharp increase in funding was attributed to two large deals going to payments companies VNPay (US$300 million) and MoMo (US$500 million). The two deals were the top largest and third largest funding rounds of the region. Today, Vietnam is now home to more than 130 fintech startups covering a broad range of services that include  digital payments, alternative finance, wealth management and blockchain. But with the government working on new developments, including a regulatory…

ViettelPay a digital wallet service under the Viettel Group said in a media statement that it is confident that the company will triple its user base by 2020. According to the company, they now have over 9 million users and they are seeing over 40 million transactions annually. The digital wallet enables users to transfer money to over 40 banks, and withdraw money from at all ATMs and Viettel’s services points in Vietnam. Its salary payment service which was launched in 2019 has already secured over 4,000 partners which transact over VND800 Billion (US$ 34 Million) a month. The company…

Grab, today announced the launch of Grab Ventures Ignite, an accelerator programme for early-stage startups, which it said is a part of the Grab for Good development roadmap in Vietnam which aims to create greater social and economic benefits for the country through technology. Grab Ventures Ignite will nurture and support promising Vietnamese startups in their journey to become national champions in Vietnam’s tech startup ecosystem, in line with the government’s national strategy to create 10 technology unicorns by 2030. Vietnam is the first country in Southeast Asia where Grab is launching Grab Ventures Ignite (GVI), it’s early-stage startup support…

Vietnam’s fintech industry, though still nascent, has witnessed significant growth over the past couple of years. As of mid-2019, the country was home to 154 fintech companies which had attracted a total of US$1.1 billion in investment, according to Lam Nguyen Hai Long, chairman of the HCM City Computer Association. Fintech funding saw a sharp increase in 2019, with Vietnamese fintechs raising US$420 million between January and September, or 36% of all fintech funding in Southeast Asia during that period, according to a report by UOB, PwC, and the Singapore Fintech Association. The figure made Vietnam second amongst ASEAN members in terms…

The State Bank of Vietnam (SBV) has scrapped its initial plan to limit foreign ownership of locally registered e-payment companies to 49% after consulting with experts and industry participants, according to a VN Express report. In a note released earlier this month, the SBV said it will not submit the proposal to the government in June after hearing feedbacks from fintech players. The central bank said that foreign investment has played a key role in the domestic payments landscape since providers heavily rely on technology. Limiting foreign ownership would hamper foreign investment in the e-payment sector and fintech in general,…

In December 2014, the State Bank of Vietnam (SBV) issued the Circular No. 39/2014/TT-NHNN which sets a series of rules banks and non-bank organizations in Vietnam must follow in order to be permitted to offer intermediary payment services such as electronic payment portal, cash collection and payment services, electronic money transfer services, and e-wallet services. Under the framework, organizations looking to provide such services in Vietnam must apply for a license and must comply to a set of requirements regarding risk management, safety guarantee and security, among other things. The license comes into force from the date of signing and…

Vietnam’s mobile payments landscape has continued to evolve on the back of strong growth and expansion coming from industry players, investment deals, and efforts by the government to establish a favorable environment for the industry to thrive. Vietnamese retailer Saigon Co.op and mobile wallet MoMo has signed a strategic cooperation agreement to boost digitalization across the retailer’s stores. With the partnership, MoMo became the official e-wallet of over 800 supermarkets, shopping centers, and stores operated by Saigon Co.op nationwide. In 2020, more developments from the MoMo Saigon Co.op partnership are expected. In particular, the two plan to deploy a series…

As of September 30, Vietnam ranked second in ASEAN in terms of fintech funding, attracting 36% of the region’s fintech investment in 2019, second only to Singapore (51%), according to a joint report by PricewaterhouseCoopers (PWC), United Overseas Bank (UOB), and the Singapore Fintech Association. Vietnam saw a sharp increase in funding in 2019 attributed to two large deals going to payments companies VNPay (US$300 million) and MoMo (US$500 million). The two deals were the top largest and third largest funding rounds of the region, as of September 30, 2019, the research says. In Vietnam, investors favor payments, which is…

Asia Kredit announced today a partnership with Lazada Philippines which will enable Lazada shoppers to purchase and apply for monthly payment installments on the Lazada Platform through AsiaKredit’s eShopaLoan. Filipino consumers will now have the option of paying for purchases made via the Lazada online marketplace and LazMall in fixed monthly installments. Loans range from Php 4,000 (US$75) to as much as Php 20,000 (US$380) over a repayment period of six months. eShopaLoan finances products within the Php 5,000 (US$95) to Php 50,000 (US$955) price range. To utilise the eShopaLoan option, Lazada customers can download the AsiaKredit pera247 app and…

Proptech is rapidly growing in Vietnam, fuel by the country’s young demographics, tech savvy population and available funding and incentives for tech startups, according to JLL Vietnam, a commercial real estate services firm. In Vietnam, the development of proptech has mostly been prominent in the market segments of residential and office, with more than 50% of proptech players active in the country serving the two sectors, JLL says. As the industry grows, the company notes a trend that’s begun to emerge: proptech startups partnering with fintechs. It cites for example property management companies trying to connect and embed e-wallets into…

Since 2013, consumer lending in Vietnam has increased strongly, driven by robust economic growth and a rising middle-class. Over 2014 – 2018, the top 11 Vietnamese banks, whose combined loans make up roughly 70% of system loans, had expanded their consumer portfolios by a 28% CAGR, according to Fitch Ratings’ Consumer Lending in Vietnam report. Meanwhile, non-consumer credit grew 15% CAGR. Among the key factors driving rising loan demand in Vietnam, Fitch Ratings cites Vietnam’s increasing urban population, rising contributions from domestic consumption, and growing acceptance towards mortgage financing. These factors, combined with the emergence of cutting-edge technologies and digital…

In Vietnam, digital and mobile payment is undeniably the most developed and crowded fintech segment. According to the State Bank of Vietnam (SBV)’s recently updated list, there are currently 30 licensed non-bank payment intermediary intermediary services in the country with around 20 of these offering e-wallets, according to Nikkei Asian Review. In the space, M_Service’s MoMo mobile payment app is the undisputable leader with an estimated 10 million users, and Vietnam’s favorite e-wallet, according to a recent survey conducted by Nhip Cau Dau Tu magazine. MoMo is a mobile wallet and digital payment application that allows users to make cash…

Vietnam’s first and largest P2P lending platform, Vaymuon.vn, announces the close of seed round funding and celebrates its strategic partnership with VietinBank Insurance (VBI) in order to ensure peace of mind for borrowers and investors. With the breakthrough results after 2 years of pioneering in Vietnam, connecting nearly 2 million borrowers with nearly 400 thousand individual investors, Vaymuon.vn will continue to call for Series A round from 5 to 10 million USD to develop a comprehensive alternative financial services loop in Vietnam and expand to regional markets including Philippines, Myanmar, Cambodia, Thailand and Indonesia. The Strategic Partnership Vaymuon.vn – VietinBank…

The State Bank of Vietnam (SBV), the country’s central bank and main financial regulatory agency, has only granted payment licenses to four companies since April 2018. According to SBV’s website, Smart Net, Endenred, Paytech and EPay are the latest four companies to have received approval from the regulator to offer intermediary payment services services such as electronic payment portals, electronic money transfers services, and e-wallet services in Vietnam. HI-TECH Security and Development Investment Company Limited, which was part of the list in April 2018, has been withdrawn for unknown reasons. The addition of the four companies brings the total number…

Vietnam’s fintech sector is heating up as Singapore’s “super-app” Grab looks to staff up its financial services division in the country, hinting at plans to launch a lending offering soon. Grab introduced its postpaid service PayLater earlier this year for Singapore. Meanwhile, Go-Viet, an on-demand multi-service platform supported by Indonesia’s ride-hailing giant Go-Jek, is seeking managers for a new online payment service. Grab VN staffs up its financial services division In a LinkedIn job posting, Grab’s Vietnam division says it is looking for a financial services marketing manager with a special focus on lending. “We are hiring for an experienced…

Three years have passed since Lifestyle Project Management and Vietnam Prosperity Joint Stock Commercial Bank (VPBank) launched Timo, the country’s first bank that has no traditional branches or transaction offices. Formed in March 2015, Timo officially opened its doors in early 2016 with the launch of the Timo Hangout in Ho Chi Minh City. Timo Hangouts serve as bank branches but without the allure of one. Instead of a traditional branch with tellers, Timo Hangouts have a cozy coffee shop and are used to open accounts or to simply meet up with friends. Since its inception, Timo has been rapidly…

A new book exploring Vietnam’s startup ecosystem was released earlier this month, detailing an American entrepreneur’s experience in supporting, and working with Vietnamese entrepreneurs across the nation. The book aims to capture the successes of and challenges facing Vietnam’s youth, local startups, and foreign entrepreneurs—in a rapidly transforming nation. Andrew Rowan’s new book, titled Startup Vietnam: Innovation and Entrepreneurship in the Socialist Republic, features ten chapters across three sectors aimed at showcasing an on-the-ground and in-depth view of Vietnam’s startup environment in the Indo-Pacific regional and global contexts. Here’s What We Got out of It Vietnam is a very young country with…

With a growing middle class, rising Internet penetration, and a population of nearly 100 million people, most of whom are young and tech-savvy, Vietnam has all the needed characteristics to become a major fintech market. In the past years, the Vietnamese fintech startup ecosystem has witnessed significant growth and is now home to some 120 companies and brands covering a broad range of services, from digital payments and alternative finance, to wealth management and blockchain. With 35 startups and platforms, payments is the most populous fintech segment. Notable companies and brands in this segment include M_Service, the developer of mobile…

Deputy Prime Minister Vuong Dinh Hue announced during a ministerial meeting recently that the Vietnamese government will soon issue a decision to allow a pilot implementation of peer-to-peer (P2P) lending before officially developing a regulatory framework for the new fundraising method. During the pilot, P2P lending would be restricted to connecting lenders and borrowers. P2P lending companies would not be allowed to mobilize capital but will only act as intermediaries to connect lenders and borrowers, according to a report by Vietnam News. “Authorities must quickly have access to new business models, and at the same time, enhance supervision to discover…

Fintech continues its momentum in Vietnam with local startups gaining significant traction from foreign investors. These raised a record of US$117 million in 2018, the maximum funding in Vietnamese startups for that year. Vietnam’s rapidly evolving fintech sector has been largely driven the country’s young, digitally-savvy population, the high mobile phone and Internet penetration rate, and the government’s push to curb cash usage and promote digital payments. As Vietnam’s financial landscape continues its digitalization journey, the following 11 fintech companies are some of the sector’s most exciting ventures to keep a very close eye on: bePOS bePOS is a startup founded in…