Grab will invest US$500 million into Vietnam over a period of five years to tap opportunities in fintech, new mobility solutions and logistics, in order to spur development of the country’s digital economy.
Since its entry into Vietnam in 2014, Grab has become the leading multi-service super app in the country.
It has established pole position in food delivery and ride-hailing amongst consumers while Moca, Grab’s strategic partner in payments, is amongst the top leaders in digital payments.
Moca’s total payments volume on the Grab app grew 150 percent in the first half of the year with monthly mobile active users growing more than 70 percent.
GrabFood, Vietnam’s top food delivery platform, saw gross merchandise value in the first half of the year grow 400 percent, with average daily orders hitting 300,000.
In that period, GrabFood also signed agreements with top-tier restaurants such as Lotteria and others.
To date, Grab has helped hundreds of thousands of driver-partners better their livelihoods, with accumulated earnings of nearly US$1 billion and encouraged millions in the country to adopt cashless payments via a strategic partnership with Moca.
GrabFood merchants have also seen their incremental business revenue grow by 300% within 2-3 months joining on the platform.
The US$500 million investment will be used to launch new services in Vietnam and expand Grab’s transport, food and payments network in the country while looking for new opportunities in new mobility solutions, fintech and the wider logistics industry.
Russell Cohen, Head of Regional Operations of Grab, said: “This investment is a reflection of our redoubled commitment to Vietnam.
“The country’s rapidly developing economy and young, mobile-first population makes it ripe for the adoption of digital services.
“As we scale our food, parcel delivery, transport and payments business across the country, we hope to tap and invest in new opportunities emerging in the fintech, mobility and logistics space, in order to bring about greater value and innovation for our customers and partners.”
Economic decline, along with a restrictive lockdown, left the freight sector in a vulnerable situation.