Grab to invest US$500 million in VN
18:06 | 30/08/2019
VGP -  Ride-hailing firm Grab  has announced it will invest US$500 million in Viet Nam over the next five years to expand its services in the Southeast Asian country.

Grab to invest US$500 million in VN

Head of regional operations of Grab Russell Cohen said this investment reflects the ride-hailing firm’s redoubled commitment to the Vietnamese market, noting that the country’s rapidly developing economy and young, mobile-first population makes it ripe for the adoption of digital services.

He noted when Grab is expanding food and parcel delivery, transport and payments business across the country, it hopes to tap and invest in new opportunities emerging in financial technology, mobile technology and logistics to bring about greater value and innovation to its customers and partners.

It’s also looking for opportunities in mobility, fintech and logistics

Grab’s food delivery service, GrabFood, posted average daily orders of 300,000 in Viet Nam in the first half of 2019.

The investment will be in addition to the $200 million that Grab had already planned to invest in the Southeast Asian country by the end of this year, said Grab Viet Nam's head Jerry Lim.

The three main areas of focus will be contributing to reducing poverty, expanding the benefits of the digital economy to 63 provinces and cities nationwide and giving millions of Vietnamese people higher incomes by helping drivers, delivery partners and business partners become micro-businesses that co-operate on the Grab platform.

Grab expects these activities to contribute to the national goal of reducing the urban unemployment rate to below 4%

Since its entry into Viet Nam in 2014, Grab has become a leading app in ride-hailing and food delivery in the country. Its food delivery platform, GrabFood, saw gross merchandise value growing 400% in the first half of 2019, with average daily orders hitting 300,000.

Meanwhile, Moca – Grab’s strategic partner in payments – recorded its total payments volume on the Grab app up 150% in the period, with monthly mobile active users rising more than 70%.

By Vien Nhu

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