Domestic and foreign investors have shown interest in investing in Vietnam's National Innovation Center (NIC), according to Minister of Planning and Investment Nguyen Chi Dung.

Perspective of the National Innovation Center. Photo: Kinhtedothi.vn

An example is that South Korea's SK Group has committed to invest about US$30 million to build the NIC. This is a significant amount of initial capital for the NIC as the Ministry of Planning and Investment (MPI) is seeking funding for the project, said the minister. 

The establishment of the NIC is key for promoting economic development based on science, technology, and innovation, Minister Dung said at a conference in Hanoi on December 21, 2018.

The NIC will be built at the Research and Development Zone of the Hoa Lac Hi-Tech Park on the outskirts of Hanoi on an area of 23 ha, providing 80,000m2 of working space. The center will need an investment of VND1.9 trillion (about US$82 million), including VND1,700 billion (about US$74 million) used for building facilities and VND200 billion (US$8.6 million) for working capital.

Leverage for investment and talents attraction 

In the first stage, the NIC will focus on five fields, including smart factory (hardware and software), digital content industry (games, advertising, movies, music), network security (security solutions, civil networks – the city’s factories and administrative agencies), smart city and environmental technology.

The MPI expects that under the policy meant to shift the economic growth model, the NIC will be the first unit in the system of innovation centers and become the nucleus for promoting Vietnamese economic development based on technology in the future.

According to Deputy Director of the Central Institute for Economic Management (CIEM) Dang Quang Vinh, experience from many countries shows that the NIC and the Industrial Revolution 4.0 supported by the government will bring great economic benefits.

For instance, South Korea earns US$30 billion annually from innovation centers, and create jobs for 40,000 highly qualified workers. Those centers facilitate the connections with thousands of companies, Vinh added.

According to experts, Vietnam can learn from South Korean experience if specific incentives and leverage are applied to attract strategic partners and  bring research and development projects to Vietnam.

“It is necessary to create an outstanding and competitive business environment, establish a legal corridor meeting international standards and build modern infrastructure. Besides, it is necessary to identify the goals and attract suitable partners for the NIC, from technology corporations, talent nurseries, outstanding start-ups, investors, human resources, among others,” said CIEM’s Director Nguyen Dinh Cung.

Hanoitimes