Vietnam’s Booming Internet Economy

Vietnam’s internet economy in 2018 is expected to reach US$9 billion in gross merchandise value (GMV), accounting for around four percent of the GDP, according to a recent study by Google and Temasek Holdings on Southeast Asia.

Internet economy in Vietnam which covers, online travel, e-commerce, online media, and ride-hailing, grew at a compound annual growth rate (CAGR) of 38 percent between 2015 and 2018.

Internet economy in Vietnam

The internet economy in Vietnam is predicted to grow at a CAGR of 25 percent between 2015 and 2025, from US$3 billion in 2015 to US$9 billion in 2018 to US$33 billion by 2025. Largely driven by the growing number of internet users and increase in adoption, the e-commerce sector almost doubled in 2018 compared to the previous year, while gaming and online advertising grew more than 50 percent.

This is an exerpt from an article appearing in Vietnam Briefing, a subsidiary of Dezan Shira & Associates. For the latest economic, regulatory and business news from Vietnam, visit vietnam-briefing.com.