VietNamNet Bridge - 2015 was believed to be the year which witnessed a boom of technology startups in the finance sector, or Fintech. 

The fact that Wal-mart had to shut down 279 stores showed the different situation of traditional retail companies and technology firms as Amazon recently used robots to handle goods at storehouses.

Technology firms not only have reached out their hands toward the retail sector, but also to some other business fields including transport. The war between Uber and traditional taxi firms is a typical example. 

In Vietnam, some Fintechs have offered to provide overseas remittance services with the surprisingly low cost of $2, or to provide small consumer loans that commercial banks refuse.

However, in order to become an ‘Uber in the financial sector’, the fledgling businesses would have to overcome difficulties.

Money Lover, an app which appeared recently in Vietnam, according to experts, is just a kind of ‘diary on spending’ used on mobile devices such as mobile phones and tablets. 

Zoo Studio which is the author of the software, has some other apps relating to finance as well, such as shopping diary, currency conversion or the one that help plan the debt payment.

According to Dragon Capital, there are over 10,000 founders operating in fintech field. They are the people who have ideas or are implementing certain fintech projects. 

However, only a few dozen products have been marketed.

Payoo, BaoKim, NganLuong and MoMo are well known to Vietnamese. However, since 2011, the e-wallets have changed their directions and followed their own ways.

MoMo, for example, has utilized technology to turn mobile phones into e-wallets, allowing customers to remit money and make payment for many different kinds of services.

NganLuong has become the payment intermediary party in commercial activities, while Payoo targets to serve payment of bills in daily life.

A lot of new fintech players have appeared with ideas in many financial fields, not only in payment. Loanvi provides a platform for peer loans (consumers borrow money from each other), while Cash2vn allows to remit money to Vietnam. Viettel has joined the market with VTPay which allows users calculate and pay tax.

The strong rise of fintechs explains why the startups can attract venture funds. Fintech ranks third among the groups of startups which have successfully called for capital. The first and second position belong to e-commerce and media, according to Topica Founder Institute.

Vo Tran Dinh Hieu from Dragon Capital noted that as the simplification of finance services and service fee reductions are a growing tendency, fintech will have a vast market to exploit.

Vietnam Fintech Club was set up with the support of Dragon Capital and Standard Chartered Bank.