In recent years, the fintech ecosystem in Vietman has grown at a phenomenal rate. A surge in foreign investments and government’s strong support are the key drivers of this growth.
The country’s digital economy is on the rise, making it one of the fastest-growing economies in ASEAN regions. According to a joint report by PricewaterhouseCoopers (PWC), United Overseas Bank (UOB), and the Singapore Fintech Association:
- As of 30 September 2019, Vietnam ranks 2nd in fintech funding in ASEAN
- It has attracted 36% of the region’s fintech investment, 2nd to Singapore (51%)
- The mobile payment market in Vietnam is estimated to reach US$70.9 billion by 2025
Since the fintech boom in 2019, many personal loan apps and fintech startups entered in the Vietnamese market. As Vietnam’s financial landscape continues to evolve, we’ll take a look at the top 5 most promising finance startups in Vietnam.
5 Best Finance Startups in Vietnam
1. MoneyTap
MoneyTap is Asia’s first app-based credit line offered in partnership with FE Credit. What sets MoneyTap apart from other personal loan apps is its unique ‘no use, no interest’ feature. It simply means that you can withdraw as much as you want from your approved credit line and pay interest only on the money you use. If you don’t use any money from the line of credit, you will not be charged any interest. You can borrow in the range of VND 1M to VND 50M, which is a higher range compared to most of its competitors. Some other features:
- Quick and easy online loan application
- Flexible monthly installment period from 2 to 36 months
- 24/7 access to cash
- No use, no interest
- Best for financial emergencies
- Available to you for a lifetime
2. Finhay
Finhay is targeted at millennials. Backed by Australia-based H2 Ventures, this micro-investment platform allows customers to invest as low as VND 50,000 in mutual funds in Vietnam. Once the users register on this platform, they need to take a short survey that asks them their age, investments, career goals, etc. Finhay then suggests the user’s investment portfolio and its related risk assessment. With a total capital commitment of VND 3.7 billion (US$158,000), this robo-advisor current has 3,000 users.
3. MoMo
MoMo is an e-wallet and mobile payment app that enables users to buy games, make peer-to-peer transfers, pay bills online, recharge, etc. In 2018, H2 Ventures and KPMG named MoMO as one of 100 Leading Global Fintech Innovators.
This app, developed by Vietnamese company M_Service, is integrated with 24 domestic banks and international payment networks such as MasterCard, Visa, and JCB and supports payments to nearly 100 services providers and online businesses. This service has nearly 10 million users on both iOS and Android.
4. Finsify
Finsify is the company behind Money Lover. This Vietnamese-made app topped the chart to emerge as the number one app in personal finance. This app consolidates all bank accounts of the user to allow them to track their finances better.
With a focus on tapping into the SMEs market, Finsify plans to launch a software for accountants. This software would help accountants manage balance sheets, cash flow, and taxes with greater convenience.
5. TrueMoney
TrueMoney Vietnam is the part of a Southeast Asian fintech company called Ascend Money. It operates the TrueMoney Wallet. The wallet allows users to pay bills, top-up their gaming cards or pre-paid mobile, transfer money from their wallet to other wallets as well as from their bank account to their wallet.
TrueMoney is originally from Thailand, but it expanded to Vietnam in 2018 after obtaining the Intermediary Payment Services License from the State Bank of Vietnam. With 500,000 customers, TrueMoney is processing over one million transactions per month.
Conclusion
Vietnam’s fintech sector is largely driven by its ever-increasing internet penetration, young, digital-savvy population, and the government’s focus on promoting digital payments. Vietnam’s fintech space will continue its digitalization journey and gain significant traction as it attracts more and more foreign investors.
Author Bio:
Lily Tran is a content writer, working for MoneyTap, who writes about all things Finance. Her passion for credit, debt, loan & investment drives her to help readers get an insight about everyday finance.