FiinGroup proudly presents our latest industry report: Vietnam Consumer Finance First-Half 2025 Review, offering an up-to-date assessment of sector performance and forward-looking insights into its next growth phase.

Vietnam’s consumer finance market has entered a recovery phase. Loan growth rebounded through 2024 and continued modestly in early 2025, at low double-digit rates, supported by improving consumer sentiment and a firmer macro backdrop. FinCos, however, remained cautious in customer acquisition as they plan for the next phase of sustainable growth toward 2030. Asset quality is stabilizing as lenders adopt more disciplined underwriting and tighter risk controls.

At the same time, leading FinCos are reinforcing risk management, diversifying product portfolios, and expanding digital and embedded-finance channels to capture new opportunities in BNPL, green, and EV-related lending.

The report provides comprehensive coverage of the sector across major dimensions, including credit expansion, portfolio composition, asset quality, earnings performance, profitability, evolving market trends, and regulatory developments shaping the industry outlook.

Key highlights from the report shall include:

• Total consumer loan outstanding balance rebounded strongly, though the recovery was uneven. FinCos expanded at roughly half the pace of banks and far below the rapid growth observed during 2015–2019.
• Credit cards and consumer-durable loans surged while cash loans declined sharply and vehicle financing remained stable, reflecting FinCos’ cautious lending stance and strategic shift toward more sustainable, consumption-linked products.
• Asset quality remained under pressure with active FinCos’ average customer non-performing ratio anchoring over 10%. However, credit cost eased at market leaders, while smaller players saw slower or uneven progress in managing bad debt.
• Sector profitability strengthened in 1H2025, led by Home Credit and HD Saison, while VietCredit achieved a remarkable turnaround as its digital-first strategy and new product launches sharply boosted returns and operational efficiency.
• Emerging trends such as ecosystem partnerships, BNPL integration, and green consumer financing are reshaping FinCos’ growth trajectory as digitalization and sustainability become core industry themes.
• Regulatory reforms proposing higher loan caps, relaxed disbursement rules, and risk-based supervision are set to expand credit access, enhance FinCos’ competitiveness, and promote more inclusive and sustainable lending growth.