The "Vietnam Embedded Finance Business and Investment Opportunities Databook - 75+ KPIs on Embedded Lending, Insurance, Payment, and Wealth Segments - Q2 2024 Update" report has been added to ResearchAndMarkets.com's offering.
The embedded finance industry in Vietnam is expected to grow by 33.6% annually to reach US$426.3 million in 2024. The embedded finance industry is expected to grow steadily over the forecast period, recording a CAGR of 45.1% from 2024 to 2029. The country's embedded finance revenues will increase from US$426.3 million in 2024 to reach US$2.73 billion by 2029.
This report offers a comprehensive, data-centric analysis of the embedded finance industry. It covers lending, insurance, payment, wealth and asset-based finance sectors and provides a detailed breakdown of market opportunities and risks across various sectors. With over 75+ KPIs at the country level, this report ensures a thorough understanding of embedded finance market dynamics, market size, and forecast.
The embedded finance sector in Vietnam is rapidly evolving, driven by significant digitalization efforts and growing consumer demand for integrated financial services. Over the past few months, the sector has seen substantial advancements in areas like payments, lending, and insurance, with businesses increasingly embedding financial solutions into digital platforms to improve user experience.
Looking ahead, this growth is expected to accelerate, backed by technological innovation and supportive government policies aimed at fostering financial inclusion. Vietnam is well-positioned to become a major fintech hub in Southeast Asia as more companies integrate embedded finance into their strategies.
Recent product launches from major players like Viettel, MoMo, and Timo illustrate the sector's dynamic nature, while strategic partnerships further enhance the accessibility and efficiency of financial services. The sector has also seen key mergers, such as Matchmove's acquisition of Shopmatic, which highlights the growing interest in integrating Banking-as-a-Service solutions.
On the regulatory front, Vietnam's new policies, including the Law on Credit Institutions 2024 and the regulatory sandbox initiative, reflect the government's commitment to balancing innovation with consumer protection. These developments are setting the stage for sustainable growth in the embedded finance ecosystem, ensuring that both businesses and consumers benefit from this transformative shift in financial services.
Looking forward, this upward trend is expected to continue, supported by ongoing innovation and government initiatives promoting financial inclusion. As more companies embrace embedded finance strategies, Vietnam is set to strengthen its position as a key player in Southeast Asia's fintech landscape.
Product Launches and Innovations
Viettel's Insurance Exchange Platform
In late 2023, Viettel, a major telecommunications provider, launched an insurance exchange platform in collaboration with Bolttech. This platform integrates various insurance products - including health, travel, and automotive insurance - into the MyViettel app, enhancing the convenience of accessing financial services.
MoMo's Enhanced Payment Features
MoMo, one of Vietnam's leading e-wallets, introduced new features enabling users to make payments and access financial services directly within partner apps, improving transaction convenience across sectors like e-commerce and transportation.
Timo's Banking-as-a-Service (BaaS) Offering
Timo, a digital banking platform, launched its BaaS solution, allowing businesses to integrate banking services within their applications. This development aims to streamline financial transactions for SMEs and improve operational efficiency.
These product launches demonstrate the rising trend of embedding financial services into digital platforms, catering to the demand for seamless and integrated financial solutions in Vietnam.
Strategic Partnerships
Viettel and Bolttech Collaboration
In October 2023, Viettel partnered with Bolttech, a Singapore-based insurtech company, to expand its insurance offerings within the MyViettel app. This partnership integrates health and travel insurance products into Viettel's digital ecosystem, enhancing user access to financial services.
MoMo and FPT Corporation Partnership
In December 2023, MoMo teamed up with FPT Corporation to embed advanced payment solutions into FPT's digital platforms. This collaboration focuses on improving payment processing capabilities for FPT's services, ensuring smoother transactions for users.
Timo and ZaloPay Partnership
In November 2023, Timo partnered with ZaloPay to provide embedded payment solutions within the Zalo messaging app, enabling users to manage finances and make payments directly through the platform for added convenience.
These partnerships highlight the growing integration of financial services into digital platforms in Vietnam, enhancing accessibility and improving user experience.
Key Mergers and Acquisitions
Matchmove Acquires Shopmatic
In May 2022, Matchmove, a Singapore-based embedded finance API provider, acquired the e-commerce platform Shopmatic for $200 million. The acquisition aims to integrate Banking-as-a-Service (BaaS) into Shopmatic's ecosystem of over a million e-commerce SMEs. Although further details on other mergers and acquisitions are limited, the significant partnerships and product launches underscore the sector's robust growth and innovation.
Regulatory Changes
Law on Credit Institutions 2024
Effective July 1, 2024, this law allows the pilot implementation of fintech solutions and introduces regulations for a sandbox scheme. It establishes a legal framework supporting fintech growth in Vietnam.
Regulatory Sandbox Proposal
In August 2023, the State Bank of Vietnam (SBV) submitted a proposal for a regulatory sandbox to oversee fintech activities, setting the stage for a government decree in 2024.
Fintech Licensing and Supervision
Under the Law on Credit Institutions 2024 and the sandbox scheme, the SBV will be responsible for licensing and supervising fintech entities, including those offering intermediary payment services, mobile money, and P2P lending.
Multi-Agency Coordination
A framework has been established for collaboration among ministries and agencies to regulate fintech. The Ministry of Public Security will coordinate with the SBV to ensure monetary stability and customer protection, while other ministries will provide input on technical eligibility and licensing.
These regulatory measures underscore Vietnam's commitment to fostering a supportive environment for embedded finance growth while maintaining strong oversight and consumer protection.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 130 |
| Forecast Period | 2024 - 2029 |
| Estimated Market Value (USD) in 2024 | $0.4 Billion |
| Forecasted Market Value (USD) by 2029 | $2.7 Billion |
| Compound Annual Growth Rate | 45.1% |
| Regions Covered | Vietnam |
Scope
Vietnam Embedded Finance Market Size and Forecast
- Embedded Finance by Key Sectors
- Retail
- Logistics
- Telecommunications
- Manufacturing
- Consumer Health
- Others
- Embedded Finance by Business Model
- Platforms
- Enabler
- Regulatory Entity
- Embedded Finance by Distribution Model
- Own Platforms
- Third Party Platforms
Vietnam Embedded Insurance Market Size and Forecast
- Embedded Insurance by Industry
- Embedded Insurance in Consumer Products
- Embedded Insurance in Travel & Hospitality
- Embedded Insurance in Automotive
- Embedded Insurance in Healthcare
- Embedded Insurance in Real Estate
- Embedded Insurance in Transport & Logistics
- Embedded Insurance in Others
- Embedded Insurance by Consumer Segments
- B2B
- B2C
- Embedded Insurance by Type of Offering
- Embedded Insurance in Product Segment
- Embedded Insurance in Service Segment
Embedded Insurance by Business Model
- Platforms
- Enabler
- Regulatory Entity
- Embedded Insurance by Distribution Model
- Own Platforms
- Third Party Platforms
- Embedded Insurance by Distribution Channel
- Embedded Sales
- Bancassurance
- Broker's/IFA's
- Tied Agents
- Embedded Insurance by Insurance Type
- Embedded Insurance in Life Segment
- Embedded Insurance in Non-Life Segment
- Embedded Insurance in Non-Life Segment
- Motor Vehicle
- Fire and Property
- Accident and Health
- General Liability
- Marine, Aviation and other Transport
- Other
Vietnam Embedded Lending Market Size and Forecast
- Embedded Lending by Consumer Segments
- Business Lending
- Retail Lending
- Embedded Lending by B2B Sectors
- Embedded Lending in Retail & Consumer Goods
- Embedded Lending in IT & Software Services
- Embedded Lending in Media, Entertainment & Leisure
- Embedded Lending in Manufacturing & Distribution
- Embedded Lending in Real Estate
- Embedded Lending in Other
- Embedded Lending by B2C Sectors
- Embedded Lending in Retail Shopping
- Embedded Lending in Home Improvement
- Embedded Lending in Leisure & Entertainment
- Embedded Lending in Healthcare and Wellness
- Embedded Lending in Other
- Embedded Lending by Type
- BNPL Lending
- POS Lending
- Personal Loans
- Embedded Lending by Business Model
- Platforms
- Enabler
- Regulatory Entity
- Embedded Lending by Distribution Model
- Own Platforms
- Third Party Platforms
Vietnam Embedded Payment Market Size and Forecast
- Embedded Payment by Consumer Segments
- B2B
- B2C
- Embedded Payment by End-Use Sector
- Embedded Payment in Retail & Consumer Goods
- Embedded Payment in Digital Products & Services
- Embedded Payment in Utility Bill Payment
- Embedded Payment in Travel & Hospitality
- Embedded Payment in Leisure & Entertainment
- Embedded Payment in Health & Wellness
- Embedded Payment in Office Supplies & Equipment
- Embedded Payment in Other
- Embedded Payment by Business Model
- Platforms
- Enabler
- Regulatory Entity
- Embedded Payment by Distribution Model
- Own Platforms
- Third Party Platforms
Vietnam Embedded Wealth Management Market Size and Forecast
Vietnam Asset Based Finance Management Industry Market Size and Forecast
- Asset Based Finance by Type of Asset
- Hard Assets
- Soft Assets
- Asset Based Finance by End Users
- SME's
- Large Enterprises
For more information about this report visit https://www.researchandmarkets.com/r/cu57zw
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