Part 1: Why science and technology determine a nation’s rise

Part 2: Why science and technology determine a nation’s rise

Over the past five years, Vietnam has made significant improvements in the Global Innovation Index (GII) rankings. Beyond state budget resources, what measures has the ministry adopted to attract capital from the private sector, venture capital funds, and international resources, thereby realizing the goal of turning Vietnam into a dynamic regional startup hub?

Innovation is only sustainable when capital flows are unlocked. In this context, the role of the state is to create mechanisms and provide initial catalytic momentum.

First, we have focused on completing the legal framework so that private capital, venture capital, and international capital can flow into the innovative startup ecosystem in a transparent and well-regulated manner. The Law on Science, Technology, and Innovation has established the legal basis for forming national venture capital funds and local venture capital funds financed by the state budget.

We view ecosystem connectivity as a decisive factor. MST has strengthened cooperation with major startup hubs in the region and globally, such as Singapore, South Korea, Japan, and the US, while also organizing many activities such as Techfest and investment and innovation forums. These efforts build confidence among international investors that Vietnam is a serious market with stable policies, a pipeline of projects, and strong capital absorption capacity.

In addition, clearly identifying priority sectors is the most effective way for the state to guide capital flows. Vietnam has identified 11 groups of strategic technologies, focusing on areas that ensure national autonomy and resilience, have strong demand, sufficiently large markets, and the potential to create long-term competitive advantages. These include foundational and spearhead technologies such as AI, semiconductors, digital technologies, green technologies, as well as technologies serving energy transition, healthcare, agriculture, and national defense and security.

When the state clearly defines major national problems and long-term priorities, investors can see the destination and the roadmap, making them willing to commit long-term capital rather than seek short-term profits. Capital flows strongly only when guided by a clear strategic vision and consistent policies.

I believe that to become a dynamic regional startup hub, Vietnam does not need to compete through short-term incentives, but through ecosystem quality: transparent institutional regime, a sufficiently large market, high-quality human resources, and strong regional and global connectivity. When these conditions converge, capital will naturally come.

The draft documents of the 14th National Party Congress emphasize a new growth model, double-digit growth targets, and the requirement for sustainable development. What do you think are strategic solutions for science, technology, and innovation to translate into productivity, growth quality, and concrete competitiveness in order to realize these goals?

The new growth model emphasized by the 14th National Party Congress places science, technology, and innovation at the center of socio-economic growth, shifting them from a sectoral role to a cross-cutting driving force for national development. To achieve double-digit and sustainable growth, science, technology, and innovation must transform macro-level objectives into productivity, growth quality, and competitiveness through strategic solutions.

First is institutional completion. Institutions must move ahead to pave the way for innovation. It is necessary to build legal frameworks for key priority sectors while implementing controlled pilot mechanisms. The legislative approach must also change: science and technology evolve very rapidly, so laws cannot wait five to 10 years to be revised. When necessary, they must be adjusted annually, with one or two key provisions amended each year.

Second is mastering strategic technologies and emerging industries. Vietnam must remain steadfast on the path of self-reliance and resilience, gaining control over core technologies. Priority resources should be concentrated on semiconductors, AI, UAVs, advanced materials, and new energy, while gradually forming industries in space and quantum technologies. These are new growth poles that will determine the country’s position and competitiveness in the next development phase.

Third is a fundamental reform of the management model for national science and technology programs and financial mechanisms, using results as the benchmark, shifting decisively from “spending on research” to “commissioning and purchasing research results,” and from input-based management to output-based investment. At the same time, intellectual property and standards must be treated as tools to drive development.

Fourth is the development of modern science and technology infrastructure and digital infrastructure. The focus is on national shared data platforms, data centers, high-performance computing and AI centers, key laboratories, and modern, synchronized postal and telecommunications infrastructure.

Finally, it is essential to develop a science, technology, and innovation ecosystem based on talent. Without talent, there is no strong science; and without strong science, there is no strong nation. 

Thai Khang