The Hanoitimes - Foreign finance groups are eager to join Vietnam’s fruitful fintech market, which is still at early stage but is forecast to reach nearly US$8 billion in 2020 thanks to surging internet and smartphone penetration, burgeoning e-commerce sector and increasingly supportive regulatory environment. Vietnam is among the highest potential markets for fintech development CEO of Lotte Card Kim Chang-kwon has recently said that with years-long experience in finance and credit, Lotte Card wants to contribute its experience to Vietnam’s development regarding payment via cards and mobile phones, fintech, findata, and doing business on digital platform. According to Kim, the purchase of Techcombank’s financial subsidiary will make it easier for Lotte Card to grow in Vietnam, where its parent Lotte Group has about 1.5 million clients in supermarkets and shopping centers. Earlier, Keb Hana, another South Korean group, was also reported to consider teaming up … [Read more...] about Vietnam’s fintech becomes potential targets for international groups
Fintech
How Vietnam will adapt to the fintech revolution
Vietnam’s low participation rate in banking provides challenges and opportunities for the growing fintech sector So what is it about fintech in Vietnam? Duong Nguyen, financial services and IT advisory leader at EY Vietnam, analyses the situation. Duong Nguyen To have and have not Only 59 per cent of Vietnam’s population have a formal bank account, while the rest have no access to banking services. Due to these relatively low financial inclusion rates, Vietnam is among the 25 priority countries on which the World Bank is focusing its financial inclusion efforts through the “Universal Financial Access (UFA) by 2020” initiative, which seeks to bring two billion unbanked people into the formal financial system. Since 2016, the State Bank of Vietnam has been partnering with the World Bank on a comprehensive approach to financial inclusion, which will result in a national financial inclusion strategy towards a cashless economy. Considering this, can we … [Read more...] about How Vietnam will adapt to the fintech revolution
P2P fintech firm launched in HCMC
P2P fintech firm launched in HCMCBy Hung Le Luu Tuong Bach (standing), chairman of MegaLend Vietnam Investment and Trading Corporation, introduces the firm at the launch ceremony. - PHOTO: HUNG LE HCMC - MegaLend Vietnam Investment and Trading Corporation, a financial technology (fintech) company, was launched in HCMC on September 5 to support peer-to-peer (P2P) lending to small and medium enterprises (SMEs) and startups. The firm will act as an intermediary between borrowers and lenders. MegaLend Vietnam Chairman Luu Tuong Bach said that the company will focus on SMEs, household businesses, startups and companies trading in the agriculture sector. These customers are in dire need of capital and have high potential for development, but they find it hard to access bank loans, Bach added. He cited a report by the World Bank as saying that 79% of Vietnamese people cannot approach official financial services. In addition, most of the enterprises in the country are SMEs, with 30% … [Read more...] about P2P fintech firm launched in HCMC
Foreign capital finds its way to lucrative local fintech market
Vietnam is touted as one of the most lucrative fintech markets in the region Latest figures by the State Bank of Vietnam’s Payment Department show that fintech companies in Vietnam now number around 100, compared to nearly 80 earlier this year. Market survey firm Solidiance recently released statistics showing that the Vietnamese fintech market’s transaction value currently stands at $4.4 billion, which will climb to $7.8 billion by 2020, nearly doubling in only two years. This explains why foreign players are seeking ways to inject capital into Vietnamese fintech firms. South Korean group Keb Hana, apart from negotiating a stake purchase deal with local state-owned commercial lender BIDV, was reported to consider teaming up with a local fintech firm via direct capital injection or through an investment fund. Similarly, Senjo Group, a major fintech firm based in Singapore with profit averaging at $400 million per year, is targeting payment fintech firms in Vietnam. Senjo … [Read more...] about Foreign capital finds its way to lucrative local fintech market
Fintech primed to boost financial services sector in Vietnam
Adrian Chng, GoBear CEO: Fintech primed to boost financial services sector in Vietnam Vietnam is setting records. Notably, at the end of last year, it was named one of the world’s Top 20 internet users with 64 million connected people and in January this year, Vietnam claimed the title of the world’s fastest growing wealth hub, clocking in 210 per cent wealth growth between 2007 and 2017. This is the reason that Forbes declared the country ‘every keen investor’s must-watch’ for 2018. Besides, It means that Vietnam sits at the beautiful intersection where personal finance meets inevitable innovation. In the last five years alone, Vietnam has experienced the entry of over 40 new fintech players, such as online payment platforms Mobivi and Momo, as well as the country’s first fully digital bank Timo. One of these is financial products comparison platform GoBear, one of Asia’s fastest growing startups that has recently undergone leadership … [Read more...] about Fintech primed to boost financial services sector in Vietnam