On October 18, the Deputy Prime Minister Vu Duc Dam attended and gave a speech at the Vietnam ICT Investment Forum 2017 (VIF). With the theme “Attracting investment in the process of digital economic transformation”, VIF 2017 attracted 500 representatives from enterprises, managers, international experts to discuss potential and opportunities for digital economy development in Vietnam in the context of industrial revolution 4.0.
At the Forum, major opinions all stressed on the importance of digital economic transformation as driving force for the growth and development of a country, which can lay foundation to improve productivity at other economic sectors. At the same time, digital economy can create new opportunities for creative enterprises and approach for new markets. During the process of investment attraction, Vietnam has become attractive destination for IT investors both in local and foreign countries. In 2016, total revenue in the IT sector was 67.6 billion USD, while the IT related products export is more than 60 billion USD, in which foreign investors contribute a large part.
In order for Vietnam to become an ideal destination for foreign investors in IT sector, it is necessary to review and update policies supporting investors, so that it will become a major part in the process of country’s digitization. VIF 2017 also offered recommendations with regard to the IT policies and related regulation of Vietnam to meet new requirements in investment and business in digital economy. In which, the government should focus on advantages and strength of Vietnam in attracting multinational companies, regulations to facilitate investment for digital enterprises in Vietnam.
With regard to the potential of Vietnam’s digital market, among new business models based on the digital platform, such as sharing economy and solutions to facilitate market development in some aspects of digital economy, such as: e-commerce, creative start-ups, sharing economy and smart cities related services. As such, opportunities and challenges to attract investment in digital economy in Vietnam are analyzed and discussed.
Stating the importance of increasing investment in IT, the Deputy Prime Minister Vu Duc Dam said, IT has become a foundation for all sectors and aspects of the socio-economic life. In Vietnam, investment in IT started right at the beginning of the reform process. Importantly, in the future, potential and business opportunities in IT of Vietnam remain high. As Vietnam has nearly 100 million people at the golden age, with 60% of the population under 35 years of age and 50% people using internet. While the revenue of the global e-commerce contributes to 8% of the total revenue of retail sector, this number in Vietnam is only 3%. This is also showing massive potential for IT market in Vietnam. Besides, the objective of having 1 million enterprises by 2020 is also an opportunity to increase the number of enterprises operating in IT, and facilitate development in other sectors.
With regard to challenges in improving productivity and changing jobs for 40% labor forces in rural areas, the Deputy Prime Minister Vu Duc Dam said, it is important to take advantage of IT to create new enterprises using modern technologies and train human resources efficiently.
