Vietnam’s digital economy will likely reach 52 billion USD in value by 2025. (Photo: VNA)
With the gross merchandise value (GMV) of its internet economy accounting for over 5 percent of the country's GDP in 2019, Vietnam is emerging as the most digital of all economies in the region, the report said.
Last year, the Vietnamese internet economy continued to record double-digit growth, at 16 percent year-on-year, the highest in Southeast Asia.
The report noted all sectors except travel continued to grow in 2020, of which transport and food, and online media grew 50 percent and 18 percent compared to 2019. Only online travel dropped 28 percent in terms of GMV, but is expected to grow 25 percent by 2025.
“This year’s seismic consumer and ecosystem shifts have advanced the internet sector in unimaginable ways, putting it in a stronger position than ever,” the report said.
Nguyen Quang Dong, Director of the Institute for Policy Research and Communication Development, said digital service industry is recording the fastest growth and is suitable with Vietnam’s strengths such as a young population who love technology and social networks.
Digital technology and the digital economy will be key drivers helping Vietnam increase workplace productivity, escape the “middle-income trap”, and realise the objective of becoming a middle developed economy by 2040, the official said.
Vietnam’s internet infrastructure and digital payment services remain limited, however, while the country still lacks a legal framework for digital assets, he said, stressing that the legal model of the 20th century no longer suits the digital economy.
Dong also underlined the need to promote international cooperation, especially in joining the building of new regulations and their enforcement through legal frameworks for the region.
A study by the Institute for Global Leadership under the US-based Tufts University revealed that Vietnam ranks 48th out of the 60 countries and territories globally in terms of rapidly switching to a digital economy, and 22nd in digitisation development.
Over the last five years, with the boom of smartphones, the internet, and social networks, digital technology and digital transformation have developed rapidly in Vietnam, shaping a fledgling, dynamic digital economy with great potential.
Vietnam’s digital economy is made up of four main groups: e-commerce, online tourism, digital communications, and logistics technology.
The country, together with Indonesia, holds the lead in digital economy growth in Southeast Asia.
The two pacesetters are both posting growth in excess of 40 percent a year.
Vietnam’s internet economy is also booming, reaching 12 billion USD in 2019 and recording a 38 percent annual growth rate since 2015.
Another study by Australia’s Data 61 forecasts that Vietnam’s GDP may add an additional 162 billion USD in 20 years if the country’s digital transformation is successful.
Experts said Vietnam possesses strengths in human resources and Government support, so the country could create a dynamic wave to further strengthen the development of its digital economy.
The Party and State have outlined orientations for building policies and programmes to actively join the Industry 4.0, focusing on applying and developing science and technology, promoting innovation, and improving the quality of human resources.
The Prime Minister on December 30, 2020 issued the National Strategy on the Industry 4.0 by 2030, to fulfil the goals set in a Politburo resolution which outlines policies guiding Vietnam’s active involvement in Industry 4.0.
The strategy’s objectives are to take full advantage of opportunities presented by the Industry 4.0 and fundamentally master and broadly apply advanced technologies in different social and economic fields.
Under the strategy, Vietnam will the top 40 performers in the Global Innovation Index (GII), the top 30 in the International Telecommunication Union (ITU)’s Global Cybersecurity Index (GCI), and the top 50 in the United Nations’ e-Government Development Index (EGDI) by 2030.
The country also aims to raise the proportion of the digital economy in national GDP to 30 percent and boost productivity by 7.5 percent annually on average. Other targets is to achieve universal access to fibre-optic internet and 5G services, completion of digital government development, and the establishment of smart cities in key economic zones across the north, central, and southern regions, and connection with regional and global networks of smart cities.
German news agency spotlights most attractive tourist sites in Vietnam
German news agency Deutsche Presse-Agentur (DPA) has recently run an article featuring the 11 most attractive tourist destinations in Vietnam, reported the Voice of Vietnam.
Ha Long Bay in Quang Ninh province
The article highlights Vietnam’s attractiveness with a long coastline, rocky cliffs, terraced fields, and bustling cities in contrary to idyllic villages.
The list of the sites includes the popular holiday town of Sa Pa in the northern mountainous province of Lao Cai, the northern mountainous province of Ha Giang, and Hanoi capital city.
Other sites named in the list are UNESCO-recognised Ha Long Bay in northern Quang Ninh province, Cat Ba island in northern Hai Phong city, Phong Nha-Ke Bang National Park in central Quang Binh province, Hue ancient capital city, UNESCO-recognised Hoi An ancient town in central Quang Nam province, Da Lat city in the Central Highlands province of Lam Dong, Ho Chi Minh City, and the Mekong Delta region.
Apart from the list, the article also provided information on the environment and climate, and travel tips for those who plan to visit the Southeast Asian nation.
Vietnam welcomed only 3.8 million foreign arrivals in 2020, down 78.7% from the previous year as a result of the serious impact of the COVID-19 pandemic on the tourism industry, according to the General Statistics Office (GSO).
The government has closed national borders and canceled all international flights since March 25 with only Vietnamese repatriates, foreign experts and highly-skilled workers allowed in with stringent conditions.
COVID-19: Eight community infections detected in Ha Nam and Vinh Phuc
A total of 20 new cases of COVID-19 were confirmed on May 2, including 12 imported entrants, and 8 community infections in the northern provinces of Ha Nam and Vinh Phuc, reported the Voice of Vietnam according to the Ministry of Health.
Illustrative photo
The 12 imported cases, all Vietnamese citizens, returned home from Japan, Russia and the Philippines, and were immediately put in quarantine upon arrival.
The two local infections detected in Ha Nam were connected with F1 contacts of the cluster of infections originating from the initial patient in Dao Ly commune, Nhan Ly district, Ha Nam province.
The six remaining domestic cases in Vinh Phuc are female staff of a karaoke facility in Vinh Phuc’s Phuc Yen city who came in close contact with a Chinese expert detected to carry the coronavirus after returning to China. They were all transferred to the National Hospital of Tropical Diseases in Hanoi for COVID-19 treatment.
The nation has so far registered a total of 2,962 coronavirus infections, including 1,595 locally-transmitted cases and 1,367 imported ones.
Among the overall figure, a total of 2,549 coronavirus patients have been declared free from the virus, while fatality count related to COVID-10 remains unchanged at 35.
Furthermore, 72 of those still receiving treatment have tested negative for the virus at least once, with most of them reporting negative results.
In addition, more than 40,560 people who are currently in quarantine nationwide after having close contact with COVID-19 patients or entering Vietnam from pandemic-hit regions.
Vietnam has so far documented a total of 24 new local cases since April 29. Most of the new cases are linked to the initial patient in Dao Ly commune, Nhan Ly district who tested positive for the novel coronavirus in Ha Nam after finalizing his mandatory two-week quarantine in the central city of Da Nang where he tested negative three times.
To prevent the potential spread of the coronavirus pandemic, all schools in Ha Nam will be closed from May 3-9 following the recent discovery of further positive COVID-19 cases.
The Chairman of the provincial People’s Committee also urged all departments, agencies, organizations and local administrations in the province to intensify the enforcement of pandemic prevention measures, including the suspension of events gathering large crowds such as weddings, parties and meetings.
According to the Center for Disease Control (CDC) in the northern province of Ha Nam province, regarding the COVID-19 outbreak in Dao Ly commune, Ly Nhan district, as many 3,088 people had their sample taken for coronavirus testing, with 2,976 having been tested.
The results showed that 12 samples were confirmed positive for SARS-CoV-2, 2,847 negative, and 112 waiting for results./.