Vietnam Innovation and Tech Investment Report FY2021 out now

Read the full report HERE.

While posing a tough challenge to the economy, the Covid-19 pandemic has been serving as a good catalyst for digital transformation in the past year. After one year of slowdown, Vietnam's startup scene has rebounded and reached new heights. This report, co-authored by NIC and Do Ventures, paints a broad picture of Vietnam’s venture capital in 2021 and provides a snapshot of the country's innovation and startup ecosystem with the following key findings: 

A record year for Vietnam venture capital

Venture capital going into Vietnamese startups reached a record high in 2021 amidst market uncertainties and upheaval caused by Covid-19. The total funding amount reached a new high of $1.4B, a 1.5x growth compared to the prior record of $874M set in 2019. Investor appetite has been accelerated by an increased interest in sectors that have benefited from the global pandemic. Moreover, the ease of video conferencing has made travel restrictions no longer a barrier to the investment decision-making process.

Vietnam is now home to 4 unicorns

Riding the acceleration of digital adoption, Vietnam celebrated the emergence of two unicorns, MoMo and Sky Mavis, in 2021. Their success doubles down on the country's growing status as a rising tech hub in the region. The future looks promising for the Vietnam tech scene as a dozen of companies with valuations of over a few hundred million dollars are in the wings to become unicorns in the coming years.

Investor confidence in Vietnam's startup scene remains high

The total number of funds investing in Vietnamese startups climbed by 60%, equally distributed among countries. Singapore was the most active investor in 2021, followed by Vietnam and the U.S. Japanese investors have gradually resumed their activities in Vietnam after a two-year slowdown.