State-Backed Funds Could Unlock Venture Capital in Vietnam

Vietnam venture capital funding could gain support from newly created state-backed funds, which industry executives said may help unlock more private capital for startups by giving foreign investors greater confidence in the market.

Hanoi has set up a VND600bn(USD22.8m) fund, while Ho Chi Minh City launched a VND500bn vehicle, though executives said the sums remain modest relative to demand and far below the size of some regional funding rounds.

ThinkZone Ventures said government money could serve as patient capital for sectors such as healthtech and biomedical innovation, where long development cycles often deter private investors.

Vietnam recorded 41 venture deals worth about USD215m in 2025, but rounds of USD10m to USD30m remain difficult to secure.

The state-backed push may therefore broaden Vietnam venture capital funding channels.