Indonesia fintech startup Kredivo launches in Vietnam

It has partnered with Phoenix Holdings, a company with a diversified portfolio in consumer, financial services, retail and technology sectors, to form Kerdivo Vietnam JSC, according to a statement from the Indonesian company.

"The launch of Kredivo in Vietnam, our first market outside Indonesia, is another key achievement and milestone for the business this year," said its COO Valery Crottaz.

This is because the country has low penetration of credit cards and a rapidly growing middle class, together with the fast-growing e-commerce market, he said.

Kredivo will offer "buy now, pay later" services amid rising demand for consumer loans and a large ratio of cash used in purchases.

It plans to reach Thailand and the Philippines next year. The company also wants to list in the U.S. by the first quarter of 2022.

Vietnam's fintech industry is seeing rising competition from both domestic and foreign players.

Startup Infina had recently raised $2 million in seed funding from five global venture capitalists, while in June, Mfast raised $1.5 million in its Pre-Series A funding from a group of investors.