Hanoi unveils 5-Year plan to boost SMEs and startups
Hanoi has introduced a new policy to support small and medium-sized enterprises (SMEs) and startups from 2026 to 2030, aiming to strengthen innovation, digital transformation, and economic growth. Approved by the Hanoi People’s Council, the initiative targets over 340,000 businesses, 97% of which are SMEs, and provides financial support for consulting, training, and infrastructure, along with subsidies for international tech-focused programs.
The policy prioritizes sectors like AI, fintech, agritech, and creative industries, offering up to 100% coverage for expert consulting and training, and 70% for short-term overseas training. It also aims to reduce early-stage risks and improve investor confidence through transparent, results-driven support. By aligning with national innovation goals, Hanoi positions itself as a key player in fostering Vietnam’s startup ecosystem and global competitiveness.
Warburg Pincus CEO: Vietnam is hitting its economic stride
Jeffrey Perlman, CEO of Warburg Pincus, believes Vietnam is entering a pivotal growth phase, driven by a strong economic "flywheel" similar to models in China and India. Since Warburg began investing in Vietnam 13 years ago, GDP per capita has grown from under $3,000 to nearly $5,000, while stock market capitalization has surged to $200–250 billion. Perlman describes this as a “feedback loop,” where rising consumer demand and investor confidence reinforce each other.
Despite global challenges like tariffs and market volatility, Vietnam remains resilient thanks to a pro-business government, ongoing reforms, and strengthened U.S. trade ties. The country’s supply chain position is also strong, benefiting from the China-plus-one strategy and a skilled workforce. BW Industrial, a Warburg portfolio company, leased nearly 1 million sqm in just five months which is over 80% of its annual target, doubling last year’s figure.
Successful IPOs from firms like Vincom Retail and Techcombank show improving liquidity and investor confidence. Warburg’s ongoing investments in companies like MoMo and Xuyen A Hospital reflect long-term faith in Vietnam’s potential. As the country moves toward a more mature economy, maintaining policy stability and openness to foreign capital will be key to sustaining momentum.
1Office secures $3M from Redbadge Pacific and other investors
Vietnamese startup 1Office has raised $3 million in a new funding round led by Redbadge Pacific, the Asia-Pacific arm of the U.S.-based Redbadge family office. The round follows its 2023 Series A from Japan’s Mynavi and comes as the company reports 50% annual growth, profitability, and a client base of over 6,000 enterprises. Known for its enterprise management software, 1Office is now gearing up for its next phase of growth.
The fresh capital will fund the “1Office Next” strategy, which shifts the company from a traditional SaaS model to AI as a Service (AaaS). 1Office plans to develop AI agents to automate HR, sales, meetings, and performance evaluations, while also exploring acquisitions of local AI startups to build an integrated AI ecosystem.
This move reflects Vietnam’s rising ambitions in AI and semiconductor innovation. It follows notable developments like AI Hay’s $10 million raise from Argor Capital and Vingroup’s AI deals with Nvidia and Qualcomm, signaling strong investor interest in Vietnam’s digital economy.
Shinhan InnoBoost 2025 selects 6 startups for its acceleration program
Shinhan Future’s Lab Vietnam has selected six Vietnamese startups to join the acceleration phase of the Global Shinhan InnoBoost 2025, launched on July 11. Backed by the National Innovation Center (NIC) and co-organized with Seoul-based partners and BambuUP, the program connects startups with real-world challenges in finance, aiming to co-create innovative solutions.
The selected startups include Fineksi (AI credit automation), Sobanhang (MSME finance platform with 600,000+ users), Metsakuur (facial recognition), bTaskee (household services), Borra (Gen Z marketing platform), and AgenticFlow AI (no-code AI automation). Over the next 16 weeks, they’ll test their products in real banking, insurance, and cybersecurity settings, leading up to a Demo Day in November.
This program signals Vietnam’s rising capacity for fintech and AI innovation, offering a valuable launchpad for startups through corporate collaboration, cross-border support, and faster product-market validation.
Vietnam boosts startup funding with new National Venture Capital Fund
Vietnam is ramping up support for SMEs and startups through a strengthened Small and Medium Enterprise Development Fund (SMEDF) and a new National Venture Capital Fund launching in October 2025. SMEDF now provides loans, seed funding, and co-invests with local VC funds—disbursing VND 900 billion to 60 SMEs so far, with 700 billion issued in the last three years. Startups working on green or ESG-aligned projects can also access a 2% annual interest subsidy.
The upcoming National Venture Capital Fund will invest directly in innovative startups, co-invest with other funds, and support broader innovation efforts. Alongside this, the government is introducing regulatory sandboxes to help test and scale new business models. These initiatives reflect a coordinated push to boost access to capital, improve governance, and strengthen Vietnam’s startup ecosystem for long-term growth.
Genesia Ventures is an early-stage venture capital firm operating in Japan and Southeast Asia, with a strong belief in the long-term potential of Vietnam’s digital economy. Beyond providing capital, the fund actively supports startups through strategic guidance and connections to a broader regional network.