• About Us
  • Careers
  • Brand Partnerships
TFI Official Merchandise
TFI English
TFI हिन्दी
Saturday, September 30, 2023
TFIGlobal
TFIGlobal
Right Arm. Round the World. FAST.
No Result
View All Result
  • Premium
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
  • Premium
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
TFIGlobal
TFIGlobal
No Result
View All Result

A Vietnamese Fintech startup is cutting Chinese Tentacles in the country’s financial markets

Akshay Narang by Akshay Narang
February 15, 2022
in China, Geopolitics
Reading Time: 3 mins read
0
china, vietnam, fintech,supply chain
923
VIEWS
Share on FacebookShare on Twitter

Vietnam, China’s biggest adversary in Southeast Asia, is working on a single agenda- kicking China out of its economy. It is working strategically to scale down Beijing’s role and control over Vietnam’s economy by expanding the presence of a local fintech startup- MoMo throughout Vietnam.

Vietnamese fintech app MeMo to focus on local growth 

Vietnam’s Fintech app MoMo has announced that it foresees growth in Vietnam’s rural areas as Co-founder Nguyen Manh Tuong said that there are no plans for international expansion of MoMo.

Also Read

MBS is Coercing Biden to Grab a Nuclear Deal

‘Russia is better’ Vietnam swiftly cancels Biden’s Friendship Proposal

MoMo’s huge market in Vietnam’s rural areas

MoMo is extremely popular in Vietnam’s countryside. Rural residents have to normally travel as far as 40 km for paying bills. This makes MoMo’s payment service highly attractive for farming communities. The fintech app actually has a huge base outside big cities like Ho Chi Minh City and Hanoi. According to Tuong, 40 per cent of MoMo users live outside the big cities, reflecting on the growing popularity of the app in rural areas.

MoMo started off as a SIM-card application in 2010 that allowed people to transfer money and purchase mobile top-up and game scratch cards. In 2014, it widened its ambit by launching a smartphone e-wallet that has gone on to become a super app with a diversity of services which includes processing insurance payments, donations and establishing an investments platform. Recently, MoMo garnered investments worth around $200 million from several investors led by Japan’s Mizuho Bank.

Read more: Joe Biden cancels the USA’s alliance with Vietnam, Indonesia and Singapore to please China

Why is Vietnam focusing on the domestic fintech market?

Foreign investors are clearly smitten by MoMo’s potential. So, why is it not trying to expand beyond the borders of Vietnam? Well, presently the priority of Vietnam’s government and businesses seems to be consolidating their stronghold in the local market.

The issue relies not just on competition between local and foreign fintech apps in Vietnam’s market. Hanoi understands that if Chinese fintech apps start dominating the Vietnamese market, they could simply reduce Vietnam into a huge data mine. Fintech companies collect and crunch users’ data, which is then used to sell different products ranging from loans, investments and insurance. The data is also used to offer different payment services and e-commerce products.

Fintech companies find it easy to collect data from spending patterns, money transfer records, browsing behaviour and even minute details like, which city spends on what particular product and the time after which shopping activity goes up. This is why China has been expanding its presence in foreign fintech markets like Malaysia. Ant Group established its subsidiary, Alipay Malaysia Sdn Bhd in 2017. Similarly, Tencent associated with Hong Leong Bank to provide WeChat Pay payment solutions in the Southeast Asian country.

Read more: The Philippines, Vietnam, Indonesia and Malaysia form a ‘Mini-Quad’ against China

But Vietnam wants to avoid a similar situation. The sizable presence of Chinese fintech apps in Vietnam could help China in grabbing sensitive data about the country. This would practically allow China to weaponize its supply chains. Suppose if Vietnam and China end up fighting over the South China Sea, Beijing could use data mined by fintech apps to punish Vietnamese consumers by manipulating supply chains. In such a case, Vietnam would end up frail and eventually be compelled to give up.

However, with MoMo expanding its base all across Vietnam, China is stonewalled and denied any strategic presence in the fintech market of the country anymore.

Tags: Chinadata securityFinTechsupply chainVietnam
ShareTweetSend
Previous Post

Xi Jinping admits China could face a severe food crisis in 2022

Next Post

“Don’t send your army, come yourself,” Zelensky stuns Biden with an unexpected invitation

Also Read

Amidst a Failing Counteroffensive, Ukraine Readies Itself for the Wagner Storm

Amidst a Failing Counteroffensive, Ukraine Readies Itself for the Wagner Storm

September 29, 2023
Lyudmila Narusova, Putin’s Newest Critique is set to meet Navalny’s fate

Lyudmila Narusova, Putin’s Newest Critique is set to meet Navalny’s fate

September 27, 2023
Putin’s Master Plan to Strengthen Wagner PMC is Out in Open

Putin’s Master Plan to Strengthen Wagner PMC is Out in Open

September 21, 2023
Chanting ‘Ukraine, Ukraine’ hasn’t been well for ICC

Chanting ‘Ukraine, Ukraine’ hasn’t been well for ICC

September 16, 2023
Load More

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms of use and Privacy Policy.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

  • Trending
  • Comments
  • Latest
The Drug Bust of Justin Trudeau in India which Ottawa is probably hiding

The Drug Bust of Justin Trudeau in India which Ottawa is probably hiding

September 15, 2023
‘17,000 Troops Gone, 10,000 concedes’ Ukraine’s Surrender Stats Revealed

‘17,000 Troops Gone, 10,000 concedes’ Ukraine’s Surrender Stats Revealed

September 28, 2023
3 possible reasons why Sophie dumped Justin

3 possible reasons why Sophie dumped Justin

August 3, 2023
Russia’s Lithium Jackpot is set to shake up the EV World

Russia’s Lithium Jackpot is set to shake up the EV World

September 25, 2023
Drugs for Sexual Pleasure? Trudeau launches his most Abhorrent Scheme

Drugs for Sexual Pleasure? Trudeau launches his most Abhorrent Scheme

July 11, 2023
Zelensky’s Henchmen Blames NATO as Counteroffensive Fizzles Out

Zelensky’s Henchmen Blames NATO as Counteroffensive Fizzles Out

September 29, 2023
Trudeau’s Worldwide Shame Continues as Even CBC Refuses to Defend Him!

Trudeau’s Worldwide Shame Continues as Even CBC Refuses to Defend Him!

September 29, 2023
Kosovo is on a mission to drag Serbia into a NATO-Serbia War

Kosovo is on a mission to drag Serbia into a NATO-Serbia War

September 29, 2023
Trudeau’s Nazi Tribute is Set to Put Him in More Troubles

Trudeau’s Nazi Tribute is Set to Put Him in More Troubles

September 29, 2023
A Desperate NATO opts for Election Meddling as Putin’s Pal is set to Lead Slovakia

A Desperate NATO opts for Election Meddling as Putin’s Pal is set to Lead Slovakia

September 29, 2023
Youtube Twitter Facebook
TFIGlobal
  • About us
  • Contact Us
  • Terms of use
  • Privacy Policy

©2023 - TFI MEDIA PRIVATE LIMITED

No Result
View All Result
  • Premium
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean

©2023 - TFI MEDIA PRIVATE LIMITED

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

Follow us on Twitter

and never miss an insightful take by the TFIGlobal team

Follow @tfiglobal
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. View our Privacy and Cookie Policy.