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Digital development set to spearhead Vietnam’s sustainable growth

The development of the digital economy would help Vietnam surpass the low-middle income threshold by 2025, reach the upper-middle-income status by 2030, and join the high-income group of countries by 2045.

Economic growth based on digital technologies and databases is expected to spearhead Vietnam’s sustainable and inclusive development amid growing global uncertainties.

 By 2025, the digital economy is expected to contribute 20% of the GDP.

Such a view was made clear in the national strategy on the development of the digital economy and society until 2025, with a vision for 2030.

Under the strategy, the development of the digital economy would help Vietnam surpass the low-middle income threshold by 2025, reach the upper-middle-income status by 2030 and join the high-income group of countries by 2045.

In addition, a digital economy is expected to promote a more comprehensive involvement of locals in social activities, including greater access to social welfare policies, propelling Vietnam into a safe, and inclusive digital country.

In this process, local enterprises and Make-in-Vietnam digital products should be priorities for development, along with selective FDI projects and manufacturers of greater added value exports.

The strategy also emphasizes the development of a digital economy foundation that serves as the growth engine for digital economic sectors and fields.

By 2025, the digital economy is expected to contribute 20% of the GDP; and the proportion of the digital economy in each sector to be at least 10%; the ratio of e-commerce to total retail sales would be above 10%; the rate of businesses using e-contracts will hit over 80%; the rate of small and medium enterprises using the digital platform would make up over 50%, and the rate of the workforce in the digital economy to represent over 2%.

Along with the development of a digital economy, the strategy expects to create new cultural values in the digital era, which create the conditions for the people to access and absorb cultural values from other countries in a selective way, eventually enriching the spiritual life of the Vietnamese people.

“The Government’s targets to further promote the creativity of the people in a digital society, at the same time protecting them against threats in this environment,” the strategy noted.

Other targets set in the strategy included the 80% of people from 18 years of age to have smartphones by 2025; 80% of those from 15 years and above to have banking accounts; over 50% of people to have digital signatures and over 70% in the working-age to be equipped with digital skills.

To realize these goals, the strategy identifies the legal framework, infrastructure, people, and businesses that would hold a key role in the development of the digital economy and society.

The Ministry of Information and Communications and local provinces/cities are tasked with carrying out the strategy by accelerating digitalization and the development of the national digital foundation.