In Vietnam, digitalization has emerged as a transformative force reshaping the landscape for small traders and household businesses. The introduction of Government Decree No. 70/2025/ND-CP stands at the forefront of this digital wave, mandating that businesses in specific sectors earning over 1 billion VND annually adopt e-invoices integrated with cash registers. This change aligns with national efforts to formalize and enhance business transparency and efficiency. As small-scale enterprises navigate this shift, the involvement of financial institutions and tech firms becomes vital, offering innovative solutions that reduce the compliance burden and provide avenues for growth within a rapidly modernizing economy.
The Role of Financial Institutions in Digital Transformation
Banks such as VPBank, TPBank, and Techcombank have emerged as pivotal players in supporting small traders through Vietnam’s digital transformation. By introducing various innovative financial products, these banks not only facilitate compliance with e-invoice regulations but also empower small businesses to explore new growth opportunities. VPBank’s introduction of Buy Now Pay Later (BNPL) services, developed in collaboration with Shopee, is a prime example. This initiative offers sellers the advantage of installment payment options, broadening their customer base without requiring customers to possess credit cards. VPBank further leverages e-commerce data to enable household businesses to secure substantial loans of up to 500 million VND without collateral, marking a significant leap in empowering small traders financially.
TPBank’s alliance with MoMo introduces another dimension to this supportive ecosystem. Their Postpaid Wallet feature provides traders with flexible credit limits, simplifying purchase and payment transactions. Additionally, TPBank’s mPOS system, which integrates seamlessly with e-invoice technology, streamlines revenue management and tax reporting. By facilitating quick, collateral-free funding access to over 50,000 small traders, initiatives such as TPBank’s demonstrate the potential of targeted financial solutions tailored for Vietnam’s burgeoning small business sector. These collaborative efforts from banks underscore a commitment to driving digital adaptation and operational transparency across Vietnam’s small enterprises.
Tech Companies and Innovative Solutions
The collaboration between Techcombank, Misa, and Sapo further exemplifies the critical role of technology companies in Vietnam’s digital landscape. Techcombank offers benefits designed to support the digital transformation of small traders, including substantial discounts on essential accounting and sales software. Moreover, the bank enhances accessibility to digital signatures and promotes cashless transactions, encouraging businesses to embed more efficient and transparent financial practices. Credit offerings through the Shopcash app, coupled with waived eTax Mobile user fees, provide significant incentives for adopting digital and cashless payment systems, fostering smoother transitions for small traders into formal enterprises.
Technology-platform companies like 9Pay are invaluable players in this ecosystem, with solutions focused on easing the transition from informal to formal business structures for small traders. The Loa TingTing solution by 9Pay simplifies payment and transaction management, making digital tools more accessible. This platform’s roadmap includes integrating QR payments, supporting e-invoice issuance, and ensuring regulatory compliance, pressing forward with a strategy set to complete by the third quarter of this year. 9Pay’s efforts showcase the seamless integration between technological advancement and business operations, which demonstrates their central role in modernizing Vietnam’s small business sector.
Government Policy and Future Implications
The implementation of Decree No. 70/2025/ND-CP highlights the government’s strategic intentions to drive the adoption of e-invoices, reflecting a broader agenda for economic formalization. The decree not only aims at tax compliance but also enhances how small traders manage inventory, revenue, and operational costs, equipping them with practical tools for sustainable growth. Vietcombank’s involvement by providing complimentary consulting on financial reporting and e-invoice applications further exemplifies this policy’s reach, assisting over 2,000 household businesses in successfully transitioning to formal enterprises, notably with widespread e-invoice adoption. This decree and accompanying digital initiatives signal a crucial shift within Vietnam’s business environment. By encouraging transparency and creating robust data channels for banks to build automated lending models, small traders benefit from improved access to credit facilities essential for expansion within formal markets. The ongoing support ensures these businesses can navigate new digital terrains with confidence, optimizing their operations. This comprehensive strategy recognizes the need for innovative solutions reflecting the diverse needs of Vietnam’s entrepreneurs, aiming ultimately to secure the integration of small traders into a progressive digital economy.
Towards a Unified Digital Economy
In Vietnam, the shift towards digitalization is transforming the landscape for small traders and household businesses. Spearheading this change is Government Decree No. 70/2025/ND-CP, which requires businesses in designated sectors with annual earnings exceeding 1 billion VND to implement e-invoices linked with cash registers. This initiative is in line with national goals to make businesses more formal, transparent, and efficient. As these small-scale enterprises work to adapt to these changes, the role of financial institutions and technology companies becomes increasingly important. They offer innovative solutions designed to alleviate the challenges of compliance, helping businesses adjust to the regulations while also opening up new opportunities for growth. These solutions promote a smoother transition within an economy that is swiftly embracing modern practices. In addition to compliance, this digital adaptation promises to enhance business operations, contributing to a thriving, dynamic economy that can compete on a global scale.