Data released by the National Innovation Center (NIC) – the Ministry of Planning and Investment in a 2024 technology investment and innovation report, showed that while total investment capital has declined, venture capital operations in Vietnam remain active in comparison to the global picture.
“While global venture capital investment in 2023 saw a sharp decline of 35% to 345 billion USD, the modest decrease (17%) in the Vietnamese market shows that our start-up ecosystem continues to be an attractive destination,” the report indicated.
Venture capital operations in Vietnam remain active in comparison to the global picture.
Investment capital in healthcare and education reached record highs. Capital poured into healthcare skyrocketed by 391% compared to the same period in 2022, reaching 184 million USD. Education received 67 million USD, a 107% increase and the highest ever recorded. The human resources and tourism – hotel industries also saw significant increases, at 305% and 132% respectively compared to the previous year.
Over the past year, Singapore led investment inflows into Vietnamese start-ups, while domestic investors ranked second. In Southeast Asia, Singapore took the lead, followed by Indonesia and Vietnam, which maintained its third position in terms of both the number of deals and investment value.
Nearly 100 funds have invested in domestic start-ups, with the most active investors coming from Singapore, followed by Vietnam.
Deputy Minister of Planning and Investment Tran Duy Dong stated that Vietnam is gradually affirming itself as an attractive destination for global technology and innovation businesses. Two promising areas are the semiconductor industry and artificial intelligence (AI).
Mr. Dong said that Vietnam will soon issue a development strategy for the semiconductor industry and a plan to train 50,000 engineers in the field. The aim is not only to meet domestic demand, but also to become a major semiconductor exporter, boosting the economy and creating job opportunities for the people.
Regarding AI, Deputy Minister Tran Duy Dong expressed his belief that: “The future development of AI in Vietnam is wide open. Some AI start-ups have already achieved international recognition. The AI market offers ample opportunities for everyone, from established businesses to start-ups”.
