Digital transformation has been identified as a new and breakthrough approach to help hasten Vietnam’s process of industrialization and modernization, according to Director of the Vietnam Economic Institute Bui Quang Tuan.

Vietnam has done well to speed up digital transformation, such as issuing a resolution on joining and taking advantage of Industry 4.0 as well as policies relating to the digital economy and the green economy, he said.

The government issued a national digital transformation program in 2020, a national strategy on e-government towards digital government in 2021, and a national strategy on the development of the digital economy and digital society in 2022.

As a result, Vietnam has posted encouraging achievements in digital transformation. Figures from the National Committee on Digital Transformation show that over 50 digital platforms have been developed and the rate of online public services at Level 4 has reached 97.3 per cent.

Vietnam ranked 86th out of 193 countries and territories in terms of digital government in 2022, according to the United Nations e-government rankings. The country’s online public services index ranked 76th.

It was listed among countries and territories with an e-government development index (EDGI) higher than the global average.

The country was also assessed as having the strongest development pace of its digital economy in Southeast Asia, according to Google.

Its digital economy accounts for 14.26 per cent of the country’s GDP, the Ministry of Information and Communications has said.

The digital economy impacts all socio-economic sectors, contributing to increasing productivity and transforming operations and trade models towards innovation, thus helping increase competitiveness, according to Mr. Tuan.

However, he added, shortcomings remain in digital transformation, such as incomplete databases, a lack of coordination between ministries, agencies, and localities in digital transformation, the improper development of digital infrastructure, and shortages of human resources.

In order to improve digital transformation, he proposed promoting innovation and the application of science and technology, issuing more policies to encourage innovation and startups, particularly in the field of high technology, and having a clear legal framework.