The growth trajectory of Vietnam's Fintech market: anticipating a booming $18 billion industry by 2024

The Fintech landscape in Vietnam is not just expanding but poised for exponential growth, with experts at financial holding Robocash Group projecting a substantial leap to reach a staggering $18 billion USD market valuation by 2024. This evolution places Vietnam at the forefront of the ASEAN region, trailing only behind Singapore in terms of the volume of financing for Fintech.

One of the most notable aspects contributing to this substantial growth is the country’s unwavering focus on e-wallets and e-money segments. Impressively, a significant 93% of venture investments in Vietnam are directed towards these sectors. Consequently, the number of FinTech companies has proliferated, surging by 84.5% since 2016 to a total of 97, signifying the market's potential for innovation and expansion.

However, amidst this impressive growth, a shift in the dynamics of start-ups is evident. While the overall number of Fintech companies has surged, the annual rate of newly launched start-ups has decreased from 11 to 2. This trend underscores the increasing competitiveness and the formidable entry barrier that exists within this burgeoning sector.

Undeniably, the demand for digital financial services among the Vietnamese populace is remarkable. A 152.8% growth in transaction volume since 2016 has attracted 29.5 million new FinTech users, culminating in the astonishing statistic that nearly every other Vietnamese citizen is availing at least one Fintech service.

Robocash Group analysts have highlighted the youth and potential of the Vietnamese Fintech market. The market valuation has ballooned from $0.7 billion USD in 2016 to an impressive $4.5 billion USD. This extraordinary leap within a relatively short span reflects the market's vitality and the incredible promise it holds for the future.

Furthermore, the imminent involvement of the government in the Fintech sector underscores its increasing significance. An evident shift towards favorable legislation supporting financial technologies signals a proactive approach in nurturing and regulating this burgeoning industry.

Notably, as the Fintech regulatory sandbox expands, and legal frameworks for digital assets and cryptocurrencies evolve, it is poised to further solidify the industry's infrastructure and credibility.

Vietnam's Fintech landscape is not merely a regional player; it's on the brink of becoming a global powerhouse. As the market continues to mature, with burgeoning investments, technological advancements, and regulatory support, it’s poised to witness an extraordinary surge towards becoming a key player in the global Fintech arena.