Small and medium enterprises (SMEs) and micro-SMEs (MSMEs) account for nearly 70 percent of GDP and 80 percent of Vietnam’s employment in 2020.
Vietnamese SMEs and MSMEs are facing challenges from banks, including:
- Cannot meet the need of SMEs and MSMEs due to their focus on secured lending (i.e. big-ticket, collateralized loans)
- Continue to drive traditional commercial credit processes and underwriting that are more suited to large businesses
- Have yet to offer a seamless digital O2O process for customer onboarding and servicing of SME customers
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