Vietnam taps digital assets collateral for SMEs, boosts VNeID

Vietnam is proposing to allow Small and Medium Enterprises (SMEs) to use digital assets and intellectual property (IP) as loan collateral.

A May 29 report by Vietnam News revealed that the country’s Ministry of Finance plans to allow SMEs to use digital assets and intellectual property rights as collateral for bank loans, aiming to improve capital access for private businesses and tech startups and address financial constraints.

The proposal is included in the draft of the revised Law on Support for SMEs, which at the time of writing is open for public consultation. Under the draft law, SMEs can secure loans using intangible assets, digital assets, virtual assets, and other lawful assets.

The policy is intended to unlock resources for the private economic sector and align with Resolution 68-NQ/TW of the Politburo, which enables the private sector as an essential driver of the national economy, the ministry said. The draft law also allows credit institutions to expand lending on credit ratings, business plans, market expansion potential, and enterprise cash flows.

The new proposal comes amid the continued challenges SMEs face in accessing credit, despite accounting for the majority of businesses in Vietnam’s economy.

According to ministry data, as of 2024, SMEs and household businesses accounted for over 98% of all enterprises in Vietnam, yet outstanding loans to SMEs accounted for only 20% of total credit in the country. The imbalance, the ministry claimed, may largely be due to a lack of eligible collateral, limited financial transparency, small capital scale, and weak risk resilience among SMEs. They add that most startups and enterprises possess technology, software, or intellectual property; however, they often lack tangible assets, which banks typically require.

In addition to allowing digital assets and IP rights to serve as collateral, the ministry also outlined incentives for innovative, green, and sustainable businesses.

SMEs that engage in sustainable development projects could receive preferential access to credit guarantees, concessional financing, and support for green interest rates. It also includes a proposal for tax incentives for environmental protection activities, accelerated depreciation mechanisms for projects that promote green transformation.

SMEs may also receive assistance for consultancy, certification, and sustainability reporting in compliance with environmental, social, and governance (ESG) standards.

Vietnam green lights plan to turn VNeID into national digital ‘super app’

In other news, Vietnam’s Deputy Prime Minister Ho Quoc Dung has approved a project to develop the national digital identification system, VNeID, for 2026 – 2030, with a vision to 2045. This aims to position the national ID platform as a “super app” at the center of Vietnam’s digital ecosystem.

Under Decision 940/QD-TTG dated May 26, 2026, the project aims to transform the country’s digital ID-VNeID into a modern, more secure, and scalable national digital platform that enables citizens, businesses, agencies, and organizations to handle administrative procedures, access public services, and even conduct electronic transactions.

By 2028, Vietnam aims to complete the legal framework, policies, and technical infrastructure to develop VNeID into a super app serving citizens, businesses, and public agencies. The country aims for 100% of beneficiaries to receive social welfare payments, pensions, and social assistance via e-wallets integrated to the national digital ID.

By the end of 2028, they expect 50% of essential digital utilities to be integrated into VNeID, while individual and organizational documents, as well as mobile subscriptions, will be authenticated on the platform.

Additionally, artificial intelligence (AI) will be gradually integrated into the VNeID to personalize and enhance user experience, with 70% of utilities and services on VNeID expected to incorporate the tech by 2030. 80% of eligible citizens are expected to receive digital signature certificates for online public and digital commercial transactions.

By 2030, the country is seeking to complete the VNeID digital ecosystem with a full range of utilities for businesses, enterprises, and public services. All citizens will have level-2 VNeID accounts integrated with payment and e-wallet platforms, with 70% of users expected to adopt cashless payments and essential payment services via the digital ID, according to the roadmap.

By 2045, the country aims to further expand the digital ID ecosystem while upgrading its technical infrastructure to ensure stable, secure, and seamless operations. In the long term, Vietnam aims to integrate all its services into the VNeID using AI.

Watch: Why using transparent ledger for digital identity ensures trust