Vietnam’s Small Business Growth Soars to Four-year High

Vietnamese small businesses experienced a successful 2024, with 82 per cent reporting growth, up from 77 per cent in 2023 - the country’s highest result since 2019, according to CPA Australia’s annual small business survey.

This momentum is expected to accelerate in 2025, with 92 per cent of small businesses expecting to grow, the highest projection among 11 markets surveyed.

Confidence in Vietnam’s economy is equally strong, with 93 per cent of small businesses expecting the economy to grow in 2025, well above the Asia-Pacific survey average of 67 per cent, and again the highest result among all surveyed markets.

CPA Australia’s CEO Chris Freeland attributes this optimism to Vietnam’s young, tech-savvy and entrepreneurial small business community.

“Vietnam’s small business sector is driven by dynamic and youthful entrepreneurs that embrace technology and innovation. Their ability to adapt quickly and invest in digital solutions is positioning them as regional leaders,” Freeland said.

“For example, Vietnam’s small businesses rank at or near the top across the Asia-Pacific in all indicators of tech adoption, including e-commerce, social media use, digital payment options and seeking advice from IT specialists.”

Easier access to funding has also fuelled growth, with 80 per cent of Vietnamese small businesses seeking external finance for growth in 2024, up from 73 per cent in 2023.

Vietnam’s small businesses are also becoming more internationally focused. In 2025, 28 percent anticipate strong improvement in overseas sales, up from 15 percent in 2024. This signals growing confidence in their ability to compete globally, despite global uncertainty.

Technology-driven investments continue to give strong and quick returns, with 88 per cent of small businesses reporting their investment in technology last year improved their profitability. Notably, AI investment among Vietnam’s small businesses doubled in 2024 to 44 per cent from 2023, with nearly half using AI for business advice.

“Vietnam’s small businesses are increasingly willing to experiment and integrate technologies like AI into their operations,” Freeland said.

“While most other markets appear to be taking a more cautious approach, Vietnam’s small businesses are leading the way in AI investment.”

Despite their success, Vietnamese small businesses continue to face strong cyber threats. In 2024, 60 per cent reported losing time or money due to a cyberattack, well above the survey average of 40 per cent.

Cybersecurity risks are expected to persist this year, with 68 per cent anticipating being cyber attacked, the highest among surveyed markets. This underscores the need for stronger cybersecurity practices.

“With Vietnam’s widespread use of technology, cybersecurity must be a top priority for small businesses. Proactively strengthening cybersecurity practices is essential for safeguarding their growth and maintaining customer trust,” Freeland said.

As Vietnam’s small businesses continue to embed technology into their business, ensuring robust cybersecurity will be key to sustaining their success.

Van Luong (Vietnam Business Forum)