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Accelerating Ho Chi Minh City’s Digital Economy

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Ho Chi Minh City is gearing up to propel its digital economy, with ambitious targets set to significantly boost its contribution to the city’s gross regional domestic product (GRDP). By 2025, the goal is for the digital economy to constitute 20% of the GRDP, increasing to 40% by 2030.

In a groundbreaking move, Ho Chi Minh City conducted a scientific assessment of the digital economy’s contribution to its GRDP for the first time in 2021, revealing a notable figure of 15.38% (excluding e-commerce and sharing economy). Building on this momentum, the estimated contribution surged to 18.66% in 2022 and is projected to reach 22% by 2024.

Lam Dinh Thang, Director of the municipal Department of Information and Communications, emphasized that the city has been entrusted with a pivotal role by the Politburo’s Resolution 31/2022, tasked with spearheading the nation’s transition to a digital economy by 2030.

To fulfil this mandate, Ho Chi Minh City has been proactive in implementing measures to foster the digital economy, integrating digital economic development targets into key municipal Party Committee resolutions and the city’s annual socio-economic development program.

Key initiatives include the development of digital infrastructure and the promotion of non-cash payments across various sectors, particularly in administrative procedures, education, healthcare, and transportation. However, Thang highlighted challenges such as insufficient awareness, inconsistent measurement methods, and a lack of policies and resources to support small and medium-sized enterprises.

Ha Than, Vice Chairman of the Ho Chi Minh City Computer Association, suggested prioritising economic sectors for digital transformation and establishing a clear roadmap to enhance public familiarity with digital economic and administrative processes.

Meanwhile, Professor-Dr. Tran Minh Tuan, Director of the Department of Digital Economy and Digital Society under the Ministry of Information and Communications, advised focusing on digital economic development in key sectors such as processing, manufacturing, logistics, agriculture, and services.

In line with these recommendations, the municipal Department of Information and Communications has rolled out measures and policies since the beginning of 2024 to support small and medium-sized enterprises, business households, and individuals. This includes training and consulting activities, as well as facilitating access to digital platforms at affordable prices.

Furthermore, the city is keen on nurturing and incentivising digital technology businesses to drive innovation and accelerate digital transformation across various economic sectors. Improving the investment environment and operations at the hi-tech park are also kept at the fore to create an ecosystem conducive to digital innovation and growth.

In an effort to drive digital transformation and meet the objectives outlined in the resolution of the 11th Congress of the Ho Chi Minh City Municipal Party Organisation, Deputy Director of the Department of Information and Communications, Vo Minh Thanh, unveiled the city’s ambitious roadmap comprising nine pivotal tasks during a meeting held on February 22nd.

The outlined tasks encompass various aspects of digitalisation, including the enhancement of information technology infrastructure, the implementation of an integrated information system for administrative procedures, and the promotion of a mobile app for streamlined communication between citizens and local authorities. Additionally, the city plans to establish a shared digital platform, digitise sector-specific data, and provide training for members of the community digital technology team.

A significant focus lies on the effective utilisation of the Quang Trung Software Park in District 12 while exploring opportunities for the creation of additional concentrated information technology zones. These endeavours are aimed at fostering regional connectivity and bolstering the growth of the IT industry within the city.

By concentrating on these initiatives, Ho Chi Minh City aims to leverage digital transformation as a fundamental solution to propel economic development and enhance overall efficiency in governance and service delivery.


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