Deputy Prime Minister Vu Duc Dam is shown the latest technology on display at the Vietnam ICT Summit 2019 in Ha Noi. — Photo VINASA

Digital transformation is an opportunity for Viet Nam to create greater value for each business, make each organisation more efficient and offer better opportunities for every citizen, said Deputy Prime Minister Vu Duc Dam at the Vietnam ICT Summit 2019 in Ha Noi on Thursday.

Dam said that although Viet Nam is currently growing faster than many countries in the region and the world, its departure point was low. Therefore, it needs to speed up and be more sustainable.

“In the current situation, Viet Nam faces fierce competition in terms of technology, investment capital attraction and markets. To overcome this, we must have aspirations, alongside creativity and breakthroughs in thought,” Dam said.

It is often said the country needs to go straight to 5G networks, artificial intelligence (AI) and blockchain, but the most important thing is to change habits to overcome difficulties.

“To do so, it is necessary to focus on building a suitable legal system,” Dam said.

He said businesses will not rush to adopt 4G and 5G networks when the 3G network still offers economic efficiency. Therefore, there needs to be policies that support businesses. They must also take social responsibility when applying new technologies.

“Businesses must receive direct benefits such as tax incentives, capital and resources. The Ministry of Information and Communications (MIC) will work with other ministries to figure out problems in IT application and development, which will be submitted to the Government and the Prime Minister for direction and support,” Dam said.

According to research by Microsoft, in 2017, the impact of digital transformation in the Asia-Pacific region was an increase of about 6 per cent in its GDP. The figure is expected to be 25 per cent this year and 60 per cent by 2021.

The research shows that digital transformation also increased labour productivity by 15 per cent in 2017, which is expected to be 21 per cent by 2020.

At the summit, MIC showed the latest draft version of the National Digital Transformation Project, which indicates that digital transformation deeply impacts the structure and relationships in the global economy, replacing manual labour with automation, capital with knowledge and data, and changing consumption habits as well as the behaviour of society.

The project sets specific objectives such as; by 2030, Viet Nam’s digital economy will grow 20 per cent per year. It will be one of the top 20 countries in the world and the top three in ASEAN in the global and regional competitiveness index, respectively. It will be in the list of Top 50 e-Government countries. Labour productivity will increase by 8-10 per cent per year.

Minister of Information and Communications Nguyen Manh Hung said digital transformation opens great opportunities for Viet Nam. This is a comprehensive change, to every business, every organisation, every citizen and every field.

“It’s a historic shift, once every thousand years. If Viet Nam wants to change in the world rankings, it must go fast and take the lead to have a competitive advantage. Digital transformation does not need a lot of facilities but changes in thinking,” Hung said.

Hung also emphasised five fundamental elements needed for concrete actions, including institution, infrastructure, cybersecurity, platform solutions and training.

Alliance

At the summit, the Vietnam Digital Transformation Alliance was officially launched with the participation of Vietnamese IT giants, including Viettel, FPT, VNPT, CMC, MISA, Hai Hoa, Mobifone, BKAV, focusing on promoting the digital transformation in Viet Nam.

Chairman of the alliance Le Dang Dung, who is also chairman of Viettel, said the alliance’s mission is to inspire the society and proactively carry out digital transformation, building platforms, infrastructure and services as well as creating conditions for Vietnamese businesses and people to join in.

“We, alliance members, share the same voice, responsible for contributing to perfecting the institutions and the legal corridor for the nation’s digital transformation,” Dung said.

He said the alliance will focus on developing digital infrastructure, applying the latest technologies, ensuring cybersecurity and quickly providing people with digital services such as digital payment, e-commerce, digital content and a shared economy.

Nguyen Van Khoa, general director of FPT Group, said technology groups and companies pioneering in Viet Nam are ready and gradually providing solutions for digital transformation.

The Vietnam ICT Summit 2019 was co-hosted by MIC and Viet Nam Software and IT Services Association (VINASA). It was attended by more than 700 participants from the Government, ministries, embassies, research institutes, businesses and cities and provinces. — VNS