IMPLEMENTATION PLAN FOR THE PROGRAM OF DEVELOPING HO

CHI MINH CITY TOWARD AN INTERNATIONAL FINTECH HUB

____________________________________

I. Needs for developing a Fintech hub in Ho Chi Minh City:

In 2002, the Party Politburo’s Resolution No. 20 determined HCM City will be
developed into a financial centre of the country and, gradually, the region, and the goal
was mentioned again in Resolution No. 16 in 2012. From 2018 to now, Ho Chi Minh
City has restarted this goal and most recently in September 2020, the City People's
Committee has submitted a written petition to the Government for support. the policy of
considering the development of regional and international financial centers in Ho Chi
Minh City as a key task, an important strategy of the country and included in the socio-
economic development strategy for the period of 2021- 2030, vision 2045.
For the past 10 years or so, Fintech — financial technology — has been reshaping
the development and future of the financial services industry by disrupting financial
services and products, in a way that Similar numbers have reshaped other industries such
as publishing, music, travel, and taxis. At the same time, Fintech innovations also create a
rapid shift of jobs from traditional financial services to the new digital realm and become
a supporting platform for longtime businesses in the translation industry financial
services. This will be a challenge for the existing financial centers, as well as an
opportunity for fledgling centers to be born.
According to the GFH report (2018), currently, there are 7 international Fintech
centers and 23 regional Fintech centers. In particular, China has 4 international Fintech
centers and 6 regional Fintech centers, emerging cities that were not previously
international financial centers like Nanjing. Currently, Ho Chi Minh City is also ranked
in the list of 25 Emerging Fintech Hub of the world, as of August 2020. According to
statistics of the Vietnam National University Banking Technology Research and
Development Institute, Out of a total of 154 Fintech companies operating in Vietnam,
there are about 60 companies headquartered in Ho Chi Minh City, accounting for more
than 50% of the number of Fintech companies in the country. In addition, in July 2020,
Ho Chi Minh City announced the Digital Transformation Program and the system of
integrated platforms, data sharing, it can be said that the development of the financial
technology center will support the process. the digital converter of the financial industry
in particular and the digital converter of the other industries and sectors in general.
Therefore, promoting the development of a Fintech hub will contribute to the
development of Ho Chi Minh City into a regional and international financial center as
well as towards the goal of bringing the city "soon becomes one of the major hubs in
economics, finance, commerce, science - technology of Southeast Asia" according to the
Resolution of the Politburo on the development orientation of the city.

II. Implementation plans:

Pursuant to Decision No. 681/KH-UBND dated 10/3/2021 on the implementation
plan of the Program “Digital Transformation of Ho Chi Minh City” in 2021, HFIC
develops an implementation plan which is expected to focus on three main tasks as
follows:
1. Developing a Fintech Development Project for Ho Chi Minh City:
1.1. Objectives:
To serve the digital transformation plan of Ho Chi Minh City and aim to develop
Ho Chi Minh City into an international financial center, a smart city and promote
innovation, become a strong growth engine in the South and the whole country. This
project will focus on the following objectives:
- The main factors that form a financial technology center (Fintech Hub) of the
country and the region.
- The impact of developing a financial technology center in Ho Chi Minh City in the
digital transformation program of Ho Chi Minh City.
- The position of Ho Chi Minh City in comparison with emerging financial
technology centers on the basis of evaluating these factors.
- Opportunities and challenges when developing a financial technology center.
- What should the government and the People's Committee of Ho Chi Minh City do
to develop Ho Chi Minh City into a financial technology center to promote digital
transformation.
1.2. The content of the project:
Based on 5 research objectives, the project will focus on 5 main contents as follows:
- Analyzing the factors forming a financial technology center of Vietnam and the
region.
- Evaluate the financial technology ecosystem; Proposing the formation and
completion of elements in the financial technology ecosystem of Ho Chi Minh City in
particular and Vietnam in general
- Evaluate the importance, necessity and impact of the development of Fintech
centers in Ho Chi Minh City to promote the digital transformation of Ho Chi Minh City.
- Outlining a vision of becoming a regional fintech hub.
 - Proposed policy and implementation plan.
1.3. Responsible insitutions:
- Organizational unit: HFIC
- Research consultant: University of Economics - Law (UEL) and Institute for
Development and Research in Bank Technology (IBT) – Viet Nam National University,
Ho Chi Minh City.
1.4. Implementation time: 12-18 months (from 2021)
1.5. Estimated cost: 5 billion VND, private sponsor.
2. Build a network of Fintech Space Network:
2.1. Objectives:
It is expected that in the period of 2021-2026, 2-5 fintech spaces will be built. The
first space is expected to be piloted in HFIC building 1, an area where financial institutions
are concentrated such as banks, securities companies, insurance companies ..., especially
the City Stock Exchange. HCM City, State Bank of Vietnam branch Ho Chi Minh City.
A pilot in the so-called "Saigon Wall Street" will facilitate the connection of traditional
financial businesses with technology developers - especially those that develop in
Fintech, providing shared spaces, technical infrastructure support, inspires creativity and
contributes to the development of Fintech activities, as well as the transition process. Ho
Chi Minh City number change.
2.2. Content:
a) Fintech Innovation Space (at HFIC building)
- Usable area: 1,000 - 2,000 m2
- Function: (i) demo zone space for fintech products / solutions of the city; (ii)
common space for seminar, workshop, seminar + pantry room design in hotel bar style;
(iii) shared office space / private office space for fintech businesses, and startups in
fintech; (iii) specialized practice training space in fintech (for companies, banks, schools,
etc.)
- How to do: (i) HFIC invest in space by design, coordinate with the operator; (ii)
assign or lease the operator to operate the space according to the proposed article
b) Fintech Education Space (at ITP building, National University of Ho Chi Minh
City)
- Usable area: 1,000 - 2,000 m2
1
Address in 33-39 Pasteur, District 1, Ho Chi Minh City.
 - Function: (i) demo zone space for fintech products / solutions of National
University Ho Chi Minh City and startups; (ii) common space for seminar, workshop,
workshop + pantry room designed in a technology community style; (iii) training space
for introductory students and fintech majors; (iv) training space for K12 students in
introductory fintech
- How to do: (i) ITP invests in space by design, in coordination with the operator;
(ii) assign or lease the operator to operate the space as set out in the article (ITP has a
team to operate this)
2.3. Responsible insitutions: HFIC, Information technology Park (ITP)
2.4. Implementation time: Expected 2021-2026.
2.5. Funding source: using funds from HFIC, ITP.
3. Hackathon Fintech 2021:
3.1. Objectives:
- Propagating and raising awareness in the digital transformation process, especially
in the financial and banking sector;
- Promote initiatives, innovative solutions, new business models in the Fintech field
among students, professionals and entrepreneurs;
- Training knowledge and entrepreneurship skills in the Fintech field;
- Create a practical experience environment for practical solutions, towards
recommendations for use in the Fintech field;
- Support incubation and connection with resources to create Fintech technology
startups;
- Connecting the community, in order to make proposals in the Fintech field.
- Searching for ideas to build a Fintech space model.
3.2. Implementation institutions:
- Organizational unit: HFIC
- Coordinator: Information technology Park (ITP)
3.3. Implementation time: operated once a year, in the period of 2021-2025.
3.4. Estimated cost: 1.5 billion VND / contest / year, private sponsor.