HCMC – The Ho Chi Minh City Venture Capital Fund (HCMC VC) was established today with a strategic target of VND5 trillion by 2035 to bolster the local innovation ecosystem.
The fund now has an initial capital of VND500 billion, backed by major founding shareholders such as Sovico, Vingroup, VinaCapital, VNG and FPT, before scaling to its VND5-trillion target by 2035.
HCMC VC will operate as a joint-stock company, merging state resources with private capital under a flexible Public-Private Partnership (PPP) model. This structure ensures transparent management and prevents administrative interference in investment decisions. Between 2026 and 2035, the fund aims to invest in 50 to 150 innovative businesses, supporting the commercialization of at least 50 technologies and nurturing five large-scale tech firms toward M&A or IPO milestones.
A key mechanism involves attracting 2 to 3 Vietnam dong of private capital for every one Vietnam dong from the State, targeting a socialized resource mobilization rate of over 60%.
Investment priorities include Artificial Intelligence, semiconductors, biotechnology, and renewable energy. To foster a true venture environment, the city has introduced a breakthrough “controlled risk acceptance” mechanism, permitting total losses of up to 50% of state capital within an investment cycle and providing liability exemptions for management teams in cases of objective market risks.
