Third, invest more in systematic e-learning
and train high-quality human resources.
Currently, the workforce in digital content is
about 148,000 people [23]. The Vietnamese
quickly adopt digital technologies and can work
in the field of IT. However, Vietnam lacks
people that can play the role of 'architect' (those
in the elite group) to lead the digital
transformation process. Talent, however,
remains a critical blocker that all parties will
need to keep working on to ensure the
momentum. Therefore, it is essential to invest
in education.
The Government of Vietnam has effectively
prevented COVID-19 outbreaks by shutting
schools across the country to minimise
widespread exposure and spread of the virus. At
that time, this resulted in disruptions in the
country's learning situation. Social
communication platforms, such as Zalo and
Viber, were used by parents and teachers, so
homework could still be assigned to students.
Some schools have used online meeting
software such as MS Team, Skype and Zoom.
However, these platforms are only well used in
metropolitan areas with better connectivity and
the availability of smart devices. Therefore, the
Government needs to make strategic
investments in systematic e-learning and
education in public schools, with innovative
platforms and methods, to enable more online
learning and teaching. Effective e-learning and
education will improve teaching methods in the
current situation and form an essential
foundation for Vietnam to benefit from the
digital economy it is striving for.
In addition, institutes and training schools
must be proactive and pay more attention to the
training of high-quality human resources and
consolidate and raise the qualifications of the
contingent of experts and lecturers. The content
of the training programs must be renewed,
updated and followed with the reality to
combine theory and practice well. Training
institutes and schools must increase investment
in modern tools and technologies and
coordinate with enterprises to provide practical
training associated with new technologies such
as the Internet of Things (IoT), AI, robotics
technology, and linkage between schools and
businesses for practical training in information
technology application.
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VNU Journal of Science: Economics and Business, Vol. 36, No. 5E (2020) 50-59
50
Review Article
The Development of the Digital Economy in Vietnam
Nguyen Thi Vu Ha*
VNU University of Economics and Business, 144 Xuan Thuy, Cau Giay, Hanoi, Vietnan
Received 14 December 2020
Revised 19 December 2020; Accepted 29 December 2020
Abstract: By 2020, the global economy is in decline in every sector except for the digital
economy. The core of the digital economy is the digital sector (IT/ICT). However, the scope of the
digital economy is even broader than that, encompassing a set of emerging digital business models
such as digital services, the platform economy, the sharing economy, and more. Recently, the
digital economy has had a high growth rate and is widely applied to other economic fields,
especially in the period of COVID-19. This article aims to analyze the current situation of
Vietnam's digital economy development through five key pillars: i) digital infrastructure; ii) digital
platforms; iii) digital financial services; iv) digital entrepreneurship, and v) digital skills. Based
on these assessments, the paper gives some recommendations for Vietnam in developing a
digital economy.
Keywords: Digital economy, digital infrastructure, digital financial services, digital platforms,
digital entrepreneurship and digital skills.
1. Overview of a Digital Economy *
There is no widely accepted definition of
the digital economy, but the most common,
though narrow, understanding is the share of
GDP occupied by the Information &
Communication Technologies (ICT) sector [1].
The digital economy refers to a broad range of
economic activities that include using digitised
information and knowledge as the critical factor
of production. It comprises modern information
networks as a virtual activity space and the
effective use of ICT as an essential driver of
_______
* Corresponding author.
E-mail address: hantv@vnu.edu.vn
https://doi.org/10.25073/2588-1108/vnueab.4462
productivity growth and economic structural
optimisation [2]. The digital economy is the
entirety of sectors that operate using Internet
Protocol (IP) - enabled communications
systems - such as mobile networks, e-payment
systems and public service networks [3].
According to Rumana Bukht & Richard
Heeks in 2017, there is a three-scope model of
the digital economy (see Figure 1). The core of
the digital economy is the digital (IT/ICT)
sector, including hardware manufacture,
information services, software and IT
consulting and telecommunications. This digital
sector comprises fundamental innovations
(semiconductors, processors), core technologies
(computers, telecommunication devices) and
N.T.V. Ha / VNU Journal of Science: Economics and Business, Vol. 36, No. 5E (2020) 50-59
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enabling infrastructures (Internet and telecom
networks).
However, the scope of the digital economy
is argued to stretch beyond this, encompassing
a set of emerging digital business models such
as digital services, the platform economy, the
sharing economy, and etc. This area produces
vital products or services that rely on core
digital technologies, including digital platforms,
mobile applications and payment services.
Besides, while applying digital technologies in
existing businesses (i.e. e-Business,
e-Commerce, Industry 4.0, Precision
agriculture, Algorithmic economy), we can see
these as within the scope of the broader
“digitalised economy”. This includes
digitally-enabled sectors in which new activities
or business models have emerged and are
being transformed as a result of digital
technologies [4].
L
Figure 1. Scoping the digital economy.
Source: Bukht et al. (2017) [4].
h
According to the World Bank, there are five
key pillars for a vibrant, safe and inclusive
digital economy in a country: i) digital
infrastructure; ii) digital platforms; iii) digital
financial services; iv) digital entrepreneurship
and v) digital skills [5]. The first pillar concerns
the building of the core sector of the digital
economy. The second and third pillars
contribute to the narrow-scale construction of
the digital economy, and the last two pillars will
make a significant contribution to the
development of the digital economy in a
broad-scale. Also, each pillar can contribute to
inclusive growth and poverty reduction
in countries.
Currently, the digital economy is at a high
rate of development, innovates rapidly and is
widely applied to other economic fields,
especially in the COVID-19 period. The digital
economy is an increasingly important driver of
global economic growth and plays an essential
role in every aspect of the economy .
Notably in 2020, with the pandemic
appearance and spread, the global economy
faces many difficulties. The global economy
has a slowdown in every sector except for the
digital economy. The digital economy is an
essential contributor to inclusive economic
growth and crisis management.
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The next section will provide the overall
picture of Vietnam's digital economy by
focusing on its pillars, including digital
infrastructure, digital platforms, digital financial
services, digital entrepreneurship and digital
skills. In this section, the paper also analyses
Vietnam's digital economy in the COVID-19
time. Based on these analyses, the article
provides some recommendations for Vietnam’s
digital economy in the future.
2. Vietnam’s Digital Economy Development
This section assesses five critical pillars for
a vibrant, safe and inclusive digital economy:
i) digital infrastructure; ii) digital platforms;
iii) digital financial services; iv) digital
entrepreneurship; and v) digital skills in
Vietnam. The improvement of these five pillars
will reflect the development of the digital
economy in Vietnam in recent years.
2.1. The Digital Infrastructure
The digital infrastructure in Vietnam has
seen strong growth in terms of quantity and
quality. Lately, Vietnam has almost full
broadband network coverage. 3G and 4G
networks covered over 95 per cent of the
population in 2019, an increase of 18 per cent
compared to 2016 and 5G networks are set to
follow in 2020. Mobile broadband connection
penetration also experienced strong growth
from 2016 with 39 per cent through 2019 and
with use by 76 per cent of the total population.
The overall mobile connectivity index has also
increased by more than 9 scores between 2016
and 2020 (Table 1).
Table 1. Vietnam’s digital infrastructure development from 2012 to 2020
Digital Infrastructure indices 2012 2016 2017 2018 2019 2020
3G coverage1 ( per cent of the population)
77 90 91 95
Mobile Broadband connections penetration rate1 ( per
cent of the population)
39 47 61 76
Mobile connectivity index1 (overall country index score
out of a maximum possible score of 100)
55.8 59.2 63.8 64.6 64.98
Internet users (million) 30.59 47.3 50.05 64 64 68.17
Internet penetration rate ( per cent of the total
population)
34 50 53 67 66 70
The average speed of fixed Internet connection (MBPS)
6.27 24.77 27.18 43.26
Mobile subscriptions (million) 127.3 143 124.7 146.5 143.3 145.8
Mobile subscriptions rate ( per cent of the total
population)
139 152 131 153 148 150
Smartphone penetration rate ( per cent of the adult
population)
16 55 72 72 72 93
Social media penetration rate ( per cent of the total
population)
9 37 48 57 0.64 67
Source: Digital 2012, 2016, 2017, 2018, 2019, 2020: Vietnam (published in January of the year) [6-11]
1MCI Data 2020 [12].
The country has seen rapid development in
the internet and mobile communications
technologies. The internet penetration rate in
2020 has more than doubled compared to 2012,
reaching 70 per cent of the total population with
68.17 million users. The mobile subscription
rate has always remained at a high level,
accounting for about 150 per cent of the total
population. By 2020, the number of mobile
subscribers reached 145.8 million people.
Smartphone penetration has seen strong growth
between 2012 and 2020. It is currently at 93 per
cent of the adult population in 2020 - one of the
highest rates in Southeast Asia. The social
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media penetration rate was at 67 per cent in Jan
2020 with 65.00 million social media users
(see Table 1).
The developed digital infrastructure has
contributed to increasing the number of digital
consumers in Vietnam, especially during the
COVID-19 epidemic. COVID-19 led to an
acceleration of digital consumption as users
tried new digital services for the first time. In
Vietnam, 41 per cent of all digital service
consumers were new (higher than the SEA
average), with 94 per cent of these new
consumers intending to continue their
behaviour post-pandemic. More than 1 in every
three digital service consumers started using
the service due to COVID-19. Majority of
new consumers are from metro areas (74 per
cent) [13].
The Internet sector provided access to
essential goods, healthcare, education,
entertainment, and helped businesses “keep the
lights on”. The Vietnamese people were
spending 3.1 hours online (for personal use)
pre-COVID-19, which spiked to 4.2 hours at
the height of national social distancing, and
now rests at 3.5 hours per day. With 8 out of 10
users viewing technology as very helpful during
the pandemic, it has become an indispensable
part of people’s daily lives. Technology has
fundamentally impacted all aspects of life this
year [13].
As such, the digital infrastructure in
Vietnam is being developed rapidly. However,
the most challenging point in digital
infrastructure in Vietnam is that these
infrastructures are mainly concentrated in
urban areas.
2.2. The Digital Platforms
Digital platforms in the public and private
sectors are growing but face high
competitiveness, and their reach is limited in
remote areas. For B2C or B2B platforms,
famous e-commercial platforms in Vietnam are
Shopee.vn, Tiki.vn, Lazada.vn, Sendo.vn, and
Telio.vn, of which the first three platforms are
in the top 20 most visited websites (Kemp, S.
2020). The total value of the B2C e-commerce
market is at $6.0 billion, with an annual growth
rate of 20 per cent, accounted for 1 per cent of
the real B2C retail spend. In 2020, the main
categories traded on the platforms were fashion
and beauty ($717 mil.); Electronics and
physical media ($716 mil.); Furniture and
appliances ($526 mil.); Food and personal care
($517 mil.); Toys, DIY and hobbies ($487 mil)
and video games ($117 mil.) [11]. However,
due to the high competitiveness between
platforms, several went out of the Vietnamese
market; for example, Muachung and Adayroi.
As for social media platforms, Facebook is
the most used one, accounting for 90 per cent of
internet users aged 16 to 64; followed by
Youtube with a rate of 89 per cent; Zalo and FB
Messenger with the same rate of 74 per cent
and Instagram - 46 per cent [11].
For ride-hailing platforms (such as Grab,
goViet, BE, etc.), in 2019, there were 4.7
million people using digitally enabled
ride-hailing services with a total value of $471
million. The annual revenue per user of
digitally enabled ride-hailing services was
$101, with the yearly growth in the total value
at 32 per cent in 2019 [11]. However, these
services are only concentrated in several big
cities like Hanoi, Hochiminh and DaNang – but
not nationwide.
2.3. Digital Financial Services
Digital financial services include services
related to payments, remittance, lending,
insurance and investment. In Vietnam, the
majority of people do not have a bank account,
accounting for 70 per cent of the adult
population, the highest rate in Southeast Asia.
Therefore, consumers have less access to
financial services. In 2020, credit card
penetration and mobile money account
penetration were at only 4.1 per cent and 3.5
per cent respectively in the population aged 15+
(see Table 2). Cash is still the primary means of
transaction or “king” in Vietnam.
The number of bank branches and ATMs in
Vietnam is deficient and has not developed
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54
significantly in recent years. In 2019, there
were only 3.98 commercial bank branches and
nearly 26 ATMs per 100,000 adults (see
Table 2). In addition, ATMs and POS terminals
are mainly concentrated in urban areas. The
lack of ATMs and POS terminals will hinder
the development of digital financial services in
Vietnam in future.
Table 2. Vietnam’s digital financial services development from 2016 to 2020
Digital financial services indices 2016 2017 2018 2019 2020
Bank account penetration (per cent of the population aged +15)
31 31 30
Credit card penetration (per cent of the population aged +15)
2 4.1 4.1
Mobile money account penetration (per cent of the population
aged +15)
0.5 3.5 3.5
Commercial bank branches per 100,000 adults2 3.45 3.91 3.98
ATMs per 100,000 adults2 24.24 24.59 25.32 25.90
Product or service online purchase penetration (per cent of
internet users)
37 39 47 77 75
Source: Digital 2012, 2016, 2017, 2018, 2019, 2020: Vietnam (published in January of the year) [6-11]
2 World Bank Data 2020 [14].
o
Another Vietnamese limitation in
developing digital financial services is that
Vietnamese people have a lack of
understanding of financial services. The Asian
Development Bank Institute research, which
surveyed 1,058 households in Vietnam, found
that financial literacy varies depending on
income level and age, with younger, wealthier
populations being more knowledgeable,
implying that digital financial services are
failing to reach impoverished and
disadvantaged communities because of low
financial literacy [15].
Although the banking infrastructure for the
development of digital financial services in
Vietnam is underdeveloped, Vietnam has great
potential to develop digital financial services.
This is because the product or service online
purchase penetration in Vietnam has seen
strong growth, from 37 per cent in 2016 to 75
per cent of internet users in 2020 (see Table 2).
In 2019, there were 51.10 million people who
made digitally enabled payment transactions
with a total value of $8.52 billion [11].
In addition, the application of new
technology in banking and financial services is
highly encouraged. The State Bank of Vietnam
established the SBV's Fintech Steering
Committee. Vietnam's fintech startup landscape
tripled in size between 2017 and 2020, growing
from 44 startups in 2017 to 118 startups now
(2020) [16]. Payment remains the most
significant segment, representing 31 per cent of
all fintech startups. As of October 2020,
Vietnam was home to 39 licensed non-bank
payment service providers, with the five biggest
e-wallets being MoMo, Payoo, Moca, ZaloPay,
and ViettelPay. However, as of 2019, there
were only 4.2 million e-wallet users out of the
country's total population of 100 million people.
While Vietnam's payment startups continue to
grow and attract investors' interest, the most
robust growth was recorded in peer-to-peer
(P2P) lending and the crypto/blockchain space.
These two segments saw the number of startups
rise from less than 5 in 2017 to more than 15
startups in 2020. Despite significant traction
and strides, Vietnam's fintech sector remains
nascent when compared to neighbouring
Singapore for example, and parts including
data/credit/scoring management and
crowdfunding are still unrepresented [16].
In Covid-19 time, consumers and SMEs
have adopted Digital Financial Services like
never before. Social distancing measures put in
place to prevent the spread of the virus have
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pushed consumers towards online commerce
and digital payments. In Q2 2020, overall visits
to shopping apps in Vietnam reached 12.7
billion, growing 43 per cent quarter-on-quarter
and surpassing that of most other Southeast
Asian countries. Digital payments have also
significantly increased this year amid the
COVID-19. In Q1 2020, electronic payments
increased by 76 per cent with the total value of
transactions jumping 124 per cent compared to
Q1 2019 [17].
Consequently, there are immense
opportunities but tough challenges in digital
financial services in Vietnam. Vietnam is
predicted to grow the fastest in the region in
terms of digital financial services revenue from
$0.5 billion in 2019 to $3.8 billion in 2025 with
a rate of 38 per cent CAGR [13].
2.4. Digital Entrepreneurship
The digital entrepreneurship ecosystem in
Vietnam is nascent but dynamic. Vietnam aims to
build a startup nation, primarily focused on e-
commerce. Vietnam has invested significantly in
science, technology, engineering and mathematics
(STEM) and digital and entrepreneurial education
in-country and is seeing positive results. Vietnam
has created new funds in critical agencies from
the National Technology Innovation Fund, to the
National Agency for Technology,
Entrepreneurship and Commercialisation
Development.
Most of Vietnam's startups are operating in
the digital market. There is a promising future
for digital entrepreneurs in online retail,
logistics and payments locally and beyond
Vietnam’s borders. The Vietnam Silicon Valley
in Ho Chi Minh City launched in 2013 as part
of a national ecosystem of innovation and
technology commercialisation boasts the largest
cluster of startups. One high-profile example is
Flappy Bird, a gaming application which shot
to fame in 2013, reportedly netting its founder
USD50,000 per day. DesignBold, a rival to
Photoshop, Digipencil MVV and
Giaohangnhanh, an online delivery service, are
three other success stories. Vietnam is the 3rd
most active startup ecosystem in ASEAN,
behind Singapore and Indonesia [18].
Digital entrepreneurship is contributing to
Vietnam’s remarkably effective handling of the
COVID-19 pandemic. Part of this is due to the
widespread accessibility of digital resources in
the country. For example, online retailer Saigon
Co.Op already counts itself as the most popular
retailer in the nation. Now, it and fellow
retailers like Tiki have seen a remarkable surge
in popularity. However, it is not just the private
sector that is experiencing more significant
volumes of visitors amid the quarantine.
Vietnam’s National Public Services Portal has
seen a 154 per cent increase in traffic from
January to March. With more citizens able to
conduct their business online, more can afford
to stay home, saving lives in the process [17].
2.5. Digital Skills
Advanced digital skills are limited in
Vietnam. Many enterprises lack regular practice
using ICT software and systems.
Approximately 30 per cent state their
employees are familiar with and use
collaboration software such as virtual teams on
a daily basis. However, less than 20 per cent of
enterprises said that they offer regular training or
retraining on ICT-related skills for employees.
There are also large digital skills shortages - for
example, Vietnam was projected to be short of
500,000 data scientists by 2020 [19].
A recent study of Vietnam-based businesses
conducted by RMIT researchers from the
School of Business & Management and KPMG
Vietnam revealed that many companies in
Vietnam lacked the leadership ability to drive
innovation, one of the reasons why many digital
transformation projects failed [20].
However, there is much potential for
Vietnam to improve digital skills since Vietnam
is a regional leader in math and science
education (primary and secondary) [18].
The analysis and assessment of the five
main pillars of the digital economy in Vietnam
show the following: i) There is an uneven
development among the pillars. The first two
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56
pillars showed significant growth, but the latter
did not; ii) Although not yet strongly
developed, the following three pillars have
great potential for amplification in the future.
The important thing is whether Vietnam is
determined to develop these pillars; iii) The
pillars are grown mainly in significant urban
areas, not yet in remote and isolated areas.
3. Recommendations for Vietnam’s Future
Digital Economy
There are four scenarios for Vietnam’s
future digital economy. These will be
determined by a range of external and internal
factors, and have been created based along two
axes: whether or not Vietnam is a net buyer or
seller of digital products and services; the level
of adaptation to new digital products and
services across the Government, the community
and industry (see Figure 3) [21]. In my opinion,
the fourth scenario is most likely to happen in
Vietnam because Vietnam already has a
relatively good digital infrastructure and digital
platforms. Adoption, acceptance and usage for
both consumers and SMEs are accelerated in
Vietnam. However, the development of digital
services in Vietnam is limited due to inadequate
digital skills. The growth of digital financial
services is also underdeveloped. Therefore,
becoming one in the second scenario is unlikely
to happen.
There is an unprecedented advance in
digital services, bringing digital technology to
the centre, now and in the future in Vietnam.
Vietnam’s internet economy will hit $100
billion in 2030 and be on track to reach over
$52 billion by 2025, despite challenges [13].
Market competition remains healthy, with more
opportunities within an open ecosystem.
Vietnam is believed to be the fastest-growing
digital economy in the Asia Pacific [18].
k
Figure 3. Four scenarios for Vietnam’s future digital economy.
Source: T.P., Tran S.T., Nguyen T.N., Trinh H.Y. & Hajkowicz S. (2019) [21].
The Vietnamese Government has shown a
strong commitment to digital transformation.
Decision No. 749/QD-TTg dated June 03, 2020,
is a testament to this. According to the
Decision, by 2030, “Vietnam becomes a digital
country characterized by stability and
prosperity and a pioneer in experimenting with
novel technologies and models; the
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management and administration activities of the
Government, the production and business
practices of enterprises and the way people live
and work are renovated fundamentally and
comprehensively; the established digital
environment is safe, humane and all-
encompassing”. Based on this vision, Vietnam
sets the major targets, as shown in Table 3.
However, Vietnam will risk falling behind
regional countries in its efforts to become a
digital economy. The development of virtual
operations will not only reduce transaction
costs and create efficiency benefits across the
economy but also facilitate the nation's
vulnerability to mobility restrictions of people
and goods. Such an effort would include:
Table 3. Major targets by 2025 and 2030 in Vietnam’s digital economy
Targets By 2025 By 2030
Digital economy ( per cent of
GDP)
20 per cent 30 per cent
Digital economy forms of each
sector
at least 10 per cent at least 20 per cent
Annual productivity 7 per cent 8 per cent
Ranked on the ICT
Development Index (IDI)
in the top 50 in the top 30
Ranked on the Global
Competitiveness Index (GCI)
in the top 50 in the top 30
Ranked on the Global Innovation
Index (GII)
in the top 35 in the top 30
Ranked on the Global
Cybersecurity Index (GCI)
in the top 40 in the top 30
Coverage of Fiber optic internet
infrastructure
more than 80 per cent of
households and 100 per cent
of communes
nationwide
Broadband service and
smartphones
4G/5G service and
smartphones are available
nationwide
5G service is available nationwide
Digital checking account ( per
cent of the population)
More than 50 per cent More than 80 per cent
Source: Decision No. 749/QD-TTg dated June 03, 2020, by the Prime Minister [22].
First, further complete the framework for
the effective implementation of the digital
economy. To develop the digital economy, in
recent years, Vietnam has promoted the
application and development of science and
technology and innovation, research, and
improvement of accessibility and proactive
participation in the fourth industrial revolution.
However, this is not enough for Vietnam
to have a complete legal framework for the
digital economy.
The legal framework is an essential element
in the effective functioning of the digital
economy. An appropriate legal framework will
facilitate a faster and more drastic transition
between the traditional and digital economies,
which means the improvement of the legal
framework for an intellectual framework,
digital banking, fintech, stock exchanges,
e-commerce, internet transactions, e-customs,
e-payments, online logistics, network security,
and network information security, etc. This has
created a legal framework for the state
management of digital economy activities and
has continued to improve institutions for the
digital economy to be strong enough to support,
facilitate and regulate the economic and
commercial relations.
Second, increase investment in science and
technology to modernise and synchronise
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digital technology. Investing in the core and
narrow aspects of the digital economy (ICT,
e-commerce, telecommunications, cloud
computing and information technology, etc.)
requires a large amount of capital. However, up
to now, the total investment in science and
technology of the whole society has only
reached 1 per cent of GDP, while in 2013 in
Korea it was 4.15 per cent; and 2.01 per cent in
China and Singapore [23]. It is essential to have
strong support from the Government with an
open management mindset to "untie" and
support small and medium enterprises, and
promote innovation. Conversely, if the
management policy is not open and remains
inflexible and stagnant it will make both
domestic enterprises and the country's economy
vulnerable to competition with foreign firms
and other economies all around the world.
In addition, Vietnam should encourage
e-commerce and e-payments since they have a
significant opportunity to develop. E-commerce
has been thriving in Vietnam (see section 2),
but most e-commerce transactions in Vietnam
are in cash. Therefore, Vietnam needs to
accelerate the promotion and use of e-payment
in e-commerce. Recent advances in e-wallets
and fintech are being encouraged, but the
adoption of e-payment platforms needs to be
accelerated. To be successful in digital
transformation in the banking-finance sector,
Vietnam needs to: i) develop e-finance and
establish a modern and sustainable digital
finance platform; ii) apply digital technology to
all areas of tax, customs, treasury and
securities; iii) Facilitate access to loans through
credit scoring solutions with reliable scoring
models and a customer database.
Third, invest more in systematic e-learning
and train high-quality human resources.
Currently, the workforce in digital content is
about 148,000 people [23]. The Vietnamese
quickly adopt digital technologies and can work
in the field of IT. However, Vietnam lacks
people that can play the role of 'architect' (those
in the elite group) to lead the digital
transformation process. Talent, however,
remains a critical blocker that all parties will
need to keep working on to ensure the
momentum. Therefore, it is essential to invest
in education.
The Government of Vietnam has effectively
prevented COVID-19 outbreaks by shutting
schools across the country to minimise
widespread exposure and spread of the virus. At
that time, this resulted in disruptions in the
country's learning situation. Social
communication platforms, such as Zalo and
Viber, were used by parents and teachers, so
homework could still be assigned to students.
Some schools have used online meeting
software such as MS Team, Skype and Zoom.
However, these platforms are only well used in
metropolitan areas with better connectivity and
the availability of smart devices. Therefore, the
Government needs to make strategic
investments in systematic e-learning and
education in public schools, with innovative
platforms and methods, to enable more online
learning and teaching. Effective e-learning and
education will improve teaching methods in the
current situation and form an essential
foundation for Vietnam to benefit from the
digital economy it is striving for.
In addition, institutes and training schools
must be proactive and pay more attention to the
training of high-quality human resources and
consolidate and raise the qualifications of the
contingent of experts and lecturers. The content
of the training programs must be renewed,
updated and followed with the reality to
combine theory and practice well. Training
institutes and schools must increase investment
in modern tools and technologies and
coordinate with enterprises to provide practical
training associated with new technologies such
as the Internet of Things (IoT), AI, robotics
technology, and linkage between schools and
businesses for practical training in information
technology application.
Last, motivate data-driven e-government
and enterprises’ proactiveness and innovation.
Better data and information systems will allow
governments to quickly make timely decisions.
Information may indicate a critical bottleneck in
the overall decision-making, for example, in
N.T.V. Ha / VNU Journal of Science: Economics and Business, Vol. 36, No. 5E (2020) 50-59
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public investment and disbursement or HRM in
the public sector, etc. Reliable and updated data
can allow credible reforms that will unlock the
potential to drive further growth in Vietnam.
The Government needs to put data at the heart
of the business model.
Business initiative in developing digital
technology is an essential issue for the
development of every business. Enterprises that
are slow in implementing digital transformation
will soon be eliminated due to their inability to
compete in terms of productivity and quality
(the ability to understand customers through
data, forecast to deploy flexible production and
business methods; and ability to create new
models and services, etc.). Thus, enterprises
must shift firmly from “imitating” existing
technologies to “innovating technologies”,
and developing new and advanced technologies,
mainly digital technology, must be a
strategic breakthrough.
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