These messages are drawn from the recently published reports on science, technology, and innovation (STI) in Vietnam, according to the launching event of these reports on 3rd November co-organized by the Ministry of Science and Technology, the World Bank, and the Australian Embassy in Vietnam. Specifically, Vietnam should redesign the STI policy from supporting frontier research and development (i.e., cutting edge innovation) to promoting adaptation and diffusion of technologies, especially for the small and medium enterprises. Developing capabilities of enterprises and skills of the workforce to adsorb STI should be a priority since they will be the new drivers of economic growth for Vietnam to become a high-income economy by 2045. Besides, it is necessary to create a mechanism for enterprises to access finance for innovative projects. More investment in STI is required.
Physical capital and cheap labor will be soon no more advantages for Vietnam under the circumstance of rapid development of technology and automation. They will be overtaken by efficiency and innovation in their contribution to economic growth. Presently, Vietnam’s enterprises have a lower level of innovation than expected, especially concerning product and process innovation, compared to the country’s level of development.
Sources & further information: “VN suggested to promote technology absorption, diffusion, human capital for sustained economic growth” at https://vietnamnews.vn, “Innovation to be the new growth motivation for Vietnam” at https://www.most.gov.vn, and Vietnam’s innovation strategy should focus on diffusion and adoption of new technologies” at https://en.vietnamplus.vn, accessed on 8 November 2021.