Vietnam has the fastest digital economic growth rate in the Southeast Asia region
In 2023, Vietnam has the fastest digital economic growth rate in the Southeast Asia region, achieving a 19% Compound Annual Growth Rate (CAGR) for the period 2022 – 2023, and it is projected to continue being one of the fastest-growing digital economies with a 20% growth rate for the period 2023 – 2025.
This is the latest information from the e-Conomy SEA 2023 report, announced by Google, Temasek (an investment company), and Bain & Company (a global consulting company), based on updated trends in the digital economy of six countries in Southeast Asia, including Indonesia, Malaysia, Philippines, Singapore, Thailand, and Vietnam.
Despite the global macroeconomic fluctuations, the report indicates that the total Gross Merchandise Value (GMV) of the region continues to rise and is expected to reach $218 billion, an 11% increase compared to the previous year. The report also shows that the revenue from the digital economy in the Southeast Asia region is poised to reach $100 billion this year.
Scene of the report announcement ceremony
In addition to the GMV figures, this is the first year the report shares revenue data, providing a more detailed insight into how businesses accelerate their growth in the context of macroeconomic challenges. The report also delves deeper into the opportunities for increased participation in the digital economy to unlock further growth potential in the region’s digital decade.
Notably, Vietnam continues to be the fastest-growing digital economy in Southeast Asia for the second consecutive year (in 2022 and 2023) and is projected to maintain this position in 2025 (tied with the Philippines). Vietnam’s total GMV is expected to achieve a 20% CAGR, increasing from $30 billion in 2023 to nearly $45 billion in 2025. The growth in GMV over the next two years will be driven by e-commerce and online travel.
On the other hand, Digital Financial Services (DFS) are growing rapidly compared to initial growth rates, with Vietnam having the fastest digital payment growth in Southeast Asia in 2023. The ongoing shift from offline to online behavior continues to drive the adoption of digital financial services (DFS). Consequently, Vietnam is also promoting this trend and becoming the fastest-growing country in digital payments, increasing by 19% from 2022 to 2023 and projected to continue growing at a 13% CAGR from 2023 to 2025.
According to Marc Woo, CEO, Vietnam, Google Asia-Pacific: “Vietnam’s digital economy is heading in the right direction. Key sectors are expected to continue to grow despite facing many challenges, notably in the digital content space, where a significant contribution comes from the gaming industry, with many Vietnamese game studios achieving global success. Google continues to comprehensively support the national digital economy through various programs nationwide, fostering Vietnam’s tech startups and investing in local talent, from basic education for students and the workforce through talent development programs, to in-depth training for technology startup leaders with Google for Startups Accelerator, such as Southeast Asia: Vietnam Innovation.”
Source: Quan doi nhan dan | Link
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