HANOI, VIET NAM – July 23, 2025 – Viet Nam is set to further transform its road infrastructure and urban mobility landscape through the expanded adoption of cashless tolling and other transport-related digital payment services. A strategic investment from the International Finance Corporation (IFC), a member of the World Bank Group, will enable VETC Joint Stock Company (VETC), the country's leading electronic toll collection (ETC) system operator, to scale its operations and enhance connectivity and road safety and improve efficiency for millions of road users.
On July 22, 2025, IFC completed its subscription to a five-year, VND500 billion (equivalent to $19.2 million) convertible bond, empowering VETC to significantly expand its ETC system coverage across toll roads across the country by 2030. The funding will also support VETC, which currently holds a 75 percent market share in the ETC sector, in diversifying its offerings to include other transport-related digital payment services, such as e-parking, airport entrance fees, and cashless fuel station transactions.
Road transport connects the majority of Viet Nam's passenger and freight traffic, and is currently undergoing significant expansion and modernization thanks to substantial investment and ambitious government plans to add over 5,000 kilometers of expressways by 2030 and an additional 9,000 kilometers by 2050. Regulation in 2022 requiring ETC systems on all expressways has further accelerated the adoption of digital tolling. Since its introduction in 2015, ETC usage has surged, with the annual volume of transactions almost doubling each year from 2019 to 2023, according to the Ministry of Transport. This rapid adoption has greatly reduced travel times, eased congestion, lowered fuel consumption, and decreased greenhouse gas emissions, resulting in nearly $1 billion in economic savings over this five-year period.
"We are honored to be one of the leaders in the digital transformation journey for Viet Nam's transportation sector," said Nguyen Le Thang, VETC General Director. "This pivotal investment from IFC enables us to accelerate the deployment of advanced ETC systems, delivering unmatched efficiency, cost savings, and environmental benefits to road users. Beyond toll collection, we are laying the groundwork for a smarter, greener, and more connected mobility future, creating significant economic and social value for our country."
"As Viet Nam’s economy continues its strong growth trajectory and its role in global supply chains expands, the need for efficient and sustainable infrastructure is crucial," said Katherine Koh, IFC Regional Industry Manager for Infrastructure and Natural Resources, Asia and Pacific. "The expansion of electronic toll collection and the digitalization of vehicle-related payment services will not only enhance mobility and improve the capacity and efficiency of road transport infrastructure, it will also deliver environmental benefits by reducing congestion and greenhouse gas emissions associated with road traffic."
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