Technological Advancements Can Turn Vietnam Into A Developing Country

Vietnamese Prime Minister
Vietnam's Prime Minister Nguyen Xuan Phuc attends a news conference with Nepal's Prime Minister Khadga Prasad Sharma Oli (not pictured) at the Government Office in Hanoi, Vietnam May 11, 2019. (Photo: REUTERS/Kham)

Vietnam has been working hard on boosting its economy over the past three decades and while the country has not experienced a recession in over 30 years, analysts said local economy can further be propelled through technological developments.

According to Eleven Myanmar, a forum that focused on helping develop the country's technology firms recommended that the government and the masses should jointly work to boost Vietnamese tech companies as they could lead the way in driving the economy out of middle-income status.

"The use of technologies and support for tech companies allow an economy to leapfrog and achieve higher growth in a shorter period," Fulbright University Vietnam's Nguyen Xuan Thanh, pointed out.

During the forum, it was also discussed how tech firms have increased in value over the last 10 years. These companies helped contribute 15 percent to the world's overall gross domestic product (GDP), which, according to economic experts, could be indicative of further growth in the future.

Thanh further explained that while other governments are supportive of tech companies in their countries, Vietnam has received less assistance. The same is true for other ASEAN countries, he noted.

For Thanh and other economic analysts, it is crucial to help technology companies get their names and brands known across the world. If companies get enough exposure, it could lead to more investments and capital assistance.

Aside from the Vietnamese government's financial support, Thanh recommended that schools and universities should secure cooperative programs with tech companies. These initiatives should help learners acquire more knowledge about the latest technology and innovations.

Director of Haravan, Pham Hai Van, echoed Thanh's sentiments. Van argued that transitioning to a digital-based economy will help improve the country's overall productivity.

Van said startups should work on successfully testing new products, services, and ideas. Failures will help Vietnam's tech firms discover strengths to enhance and weaknesses to improve, he explained.

Late last week, OpenGov Asia reported that Vietnam is poised to transition into an industrialized country by 2045, with the goal of promoting creativity and technology in various sectors.

This year, the Vietnamese government is looking to adopt a digital transformation scheme that should help boost the country's ICT industry. Both public and private tech companies will be urged to adopt full digitization strategies.

Meanwhile, talks are on regarding Vietnam's capabilities in going global. Voice of America reported that U.S. Ambassador to Vietnam, Daniel J. Kritenbrink, has urged Vietnamese companies to invest in American business.

Kritenbrink explained that the U.S. is Vietnam's biggest potential export market, adding that the Asian country will soon obtain the technology and skills needed for entrepreneurs to set up shop in the West.

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