The number of FinTech startups in Vietnam has almost tripled from 44 to 121 between 2017 and 2020, with 31% of them operating in payments, according to a report released by Fintech News Singapore.
FinTech is expected to grow even more with favorable regulations, including the upcoming FinTech regulatory sandbox and the legal framework for digital assets and cryptocurrencies, said the report.
VIR reported that as of October 2020, there are 39 authorized non-bank payment service providers in Vietnam, with MoMo, Payoo, Moca, ZaloPay and ViettelPay being the five largest e-purse providers. The number of players operating in the payments industry in Vietnam is large and very competitive, but there are still many opportunities for growth.
Fintech News Singapore stressed that despite the rapid development, the Vietnamese FinTech industry is still new compared to Singapore and areas including data/credit/scoring management and crowdfunding are still non-existent in Vietnam. Vietnam's FinTech industry is dominated by B2C players, while the less developed B2B segment is poised for growth.