HCMC – Vietnam aims to leverage technology to drive economic growth and address pressing environmental challenges, with the goal of becoming a digital powerhouse in Southeast Asia, as stated by a recent report, “Breaking the Digital Frontier: Innovations Shaping Vietnam’s Transformation.”
Released by Acclime Vietnam in collaboration with UOB Vietnam and investor community partner AVV, the report found that Vietnam has made strides in adopting new technologies and fostering innovation across various sectors over the past five years.
The National Digital Transformation Program seeks to elevate Vietnam’s economic competitiveness by making the digital economy a substantial 30% of its GDP by 2030.
In 2023, Vietnam’s digital economy reached a value of US$30 billion, demonstrating a 19% compound annual growth rate (CAGR) since 2022. This robust growth is driven by factors such as a burgeoning middle class, a tech-savvy population, and a thriving e-commerce ecosystem.
E-commerce, travel, transportation, and media sectors are particularly dynamic, contributing primarily to the overall digital economy. These sectors are on track for further expansion, fueled by increasing internet penetration and smartphone adoption.
The internet of things (IoT) is seeing rapid growth, with the number of IoT devices projected to soar in the coming years. This trend will revolutionize industries such as agriculture, manufacturing, and logistics.
As one of the world’s most vulnerable countries to climate change, Vietnam recognizes the potential of digital technologies to mitigate climate impacts. Early warning systems, powered by advanced technology, can effectively alert citizens to impending natural disasters.
The report stated it is essential for Vietnam to prioritize cybersecurity and data privacy to protect sensitive information and ensure the long-term sustainability of the digital economy.
