Creating breakthroughs in science, technology, innovation and digital transformation

Today, January 9, the Government issued the Action Program to implement Resolution No. 57-NQ/TW dated December 22, 2024 of the Politburo on breakthroughs in science, technology, innovation and national digital transformation.

According to the program, the Government will strive to perfect institutions, eliminate all ideas, concepts, and barriers that are hindering development, and turn institutions into a competitive advantage in the development of science, technology, innovation, and digital transformation.

Bottlenecks will be addressed simultaneously with the development of specific mechanisms for investment, public investment and public procurement for products originating from scientific research, technology development and digital services, in order to promote the national digital transformation process.

Records and procedures for management, use, as well as payment settlement related to scientific research, technology development and digital transformation activities will be simplified to the maximum. Vietnam will establish a policy to protect intellectual property rights, linked to a mechanism for sharing benefits from research and application results.

The government will amend laws to remove barriers to science, technology and innovation activities towards risk-taking, venture capital and time lag in research.

The Law on Science and Technology 2013 and related laws will be adjusted to create a favorable legal corridor, promoting science, technology and innovation. Investment resources from the state budget as well as attracting external resources will be focused on this field.

Regulations on the establishment and use of venture capital funds for innovative startups, technology incubation and digital transformation will be developed.

The Law on Industry and Digital Technology will be supplemented with new policies, such as pilot projects with State participation; liability exemption mechanisms in testing new digital technologies, new business models applying digital technologies; preferential mechanisms on land, credit, and taxes in research, testing, application, and development of strategic digital technologies, digital technology industry, big data industry, safety industry, cybersecurity, and Internet of Things (IoT) industry.

The Government has determined to amend legal regulations to facilitate investment in international submarine optical cable lines, in which Vietnamese enterprises are members or owners.

The Law on Investment, Bidding, and Investment under the public-private partnership model will be amended, facilitating bidding procedures to select partners and businesses to participate in the development of new technologies, strategic technologies, digital services, and digital infrastructure "with outstanding incentive mechanisms".

Some policies will also be developed such as the Pilot Project for enterprises to test new technologies and new business models under State supervision; exemption of responsibility for enterprises, organizations and individuals in cases where testing new technologies and new business models causes economic damage due to objective reasons.

The Government expects to arrange cadres with expertise and experience in science and technology in the leadership team of each state agency, reaching at least 25%; in which cadres who dare to think, dare to do, dare to take responsibility in developing science and technology, and innovation are encouraged and protected.

According to the action program, the Government will issue a strategic technology and industrial development program; build a legal basis and project to form a Strategic Industrial Development Investment Fund; and build a policy testing mechanism to promote research, development, application, and transfer of strategic technology.

Agencies will also develop public-private partnership mechanisms and policies to research and develop strategic technologies; develop projects to develop energy infrastructure, especially new energy, clean energy, and ensure energy security for the development of science, technology, and strategic industries; develop projects to develop a system of research and testing centers, key national laboratories, focusing on strategic technologies.

The Government has determined to develop a project to exploit resources, especially rare earths, for effective use, serving the development of science, technology, and innovation. The network connecting innovation centers and creative startups also focuses on strategic technology and digital transformation.

Vietnam strives to implement at least 5 projects and programs in the fields of semiconductors, artificial intelligence, digital technology, smart factories, and smart cities by 2030.

Investment, purchase, and rental of digital products and services will receive tax incentives. The state budget will be used to build a national and regional digital platform for shared use by many agencies and organizations.

The State encourages organizations, individuals, and businesses to invest in building laboratories and science and technology research and development centers. 5G, 6G, and next-generation networks aim to cover the whole country.

Vietnam will build IoT industries and a number of specialized industrial parks to develop IoT. Industrial parks and clusters will increase IoT applications to become smart industrial parks and clusters; the national data center will soon be completed and put into effect. The government will complete the legal framework to promote the application of artificial intelligence (AI) in digital technology application development solutions.

To ensure high-quality human resources to meet the requirements of science, technology, innovation and national digital transformation, the Government will implement synchronous solutions to enhance STEM education and career guidance, attract, discover and nurture excellent students in these fields. The system of specialized schools and gifted schools in natural sciences will be invested in and upgraded.

Along with that, a series of solutions were also implemented at the same time, such as improving the capacity of lecturers and managers of universities; granting scholarships and tuition exemptions for students and trainees in STEM fields to serve strategic technology development; implementing training programs for talented engineers, masters and doctors in basic sciences, engineering and key technologies. Some universities focus on in-depth training in artificial intelligence and strategic technology.

Public universities will be given the highest preferential rates on re-borrowing from ODA projects and other preferential loan projects supporting human resource training for strategic technology sectors. Tax incentives and financial mechanisms will also be revised to encourage businesses to participate in digital technology human resource training, creating a clear legal corridor for public-private partnership (PPP) models in digital human resource training.

The Government also builds special mechanisms on naturalization, home and land ownership, income, and working environment to attract, employ, and retain leading scientists, experts, and general engineers at home and abroad.

Agencies in the political system will enhance digital transformation, apply science and technology; strengthen international cooperation in developing science and technology and innovation.

Enterprises, especially small and medium enterprises, cooperatives, and business households, are encouraged to invest in digital transformation to improve production and business efficiency. A project to form large-scale strategic technology enterprises will be developed to develop digital infrastructure, digital human resources, digital data, strategic technology, and cybersecurity.