Vietnam relies on high-tech for sustainable growth

To achieve double-digit growth over the next few years, Vietnam, considered an attractive destination for international investors, needs to improve the quality of its foreign investment flows, which are a key resource for economic development.

Positioning itself as a high-tech investment destination

Speaking at the Vietnam Connect Forum 2025, Lim Dyi Chang, Senior Director of Corporate Clients at United Overseas Bank (UOB) Vietnam, emphasized Vietnam's "unique" opportunity to attract high-quality investment flows.

The presence in Vietnam of big names such as Samsung, LG, Foxconn and Amkor testifies to this. Vietnam is not only an investment destination, but also an important link in the global supply chain, added Lim Dyi Chang.

The number of 42,760 valid FDI projects, with a total registered capital in excess of 510 billion dollars, places Vietnam among the top 15 countries attracting the most foreign investment in the world.

However, according to Deputy Finance Minister Dô Thanh Trung, the fact that only around 5% of total foreign investment is devoted to the high-tech sector falls short of expectations.

Vietnam cannot continue to compete on the basis of cheap labor or low energy costs," emphasized Dô Thanh Trung, stressing the need to adopt a policy of selectively attracting investment, giving priority to the high-tech sector.Dô Thanh Trung stressed the need to adopt a policy of selective investment attraction, to focus on industries with high technological content, to mobilize skilled human resources and to contribute to the modernization of the value chain.

Sharing the same view, Koen Soenens, General Manager of Sales and Marketing for DEEP C Industrial Zones, asserted that Vietnam must position itself as a destination of choice for high-tech industries, such as artificial intelligence (AI) and semiconductors.

Since the publication of Political Bureau Resolution No. 50-NQ/TW, which advocates the promotion of investment cooperation in the fields of high-tech and basic technology, the quality of foreign investment in Vietnam has changed considerably, with an increased influx of capital into high-tech projects.

However, the target of a 50% increase in the rate of enterprises using advanced technologies and modern management, while guaranteeing environmental protection by 2025, seems difficult to achieve.

More decisive advances are needed

To ensure double-digit growth in the years ahead, the FDI sector needs more decisive advances, both in terms of capital and the quality of capital flows.

Nguyen Anh Tuan, Deputy Director of the Ministry of Finance's Foreign Investment Agency (FIIA), stressed the importance of maintaining the confidence of foreign investors and finding solutions to problems relating to institutions, human resources and infrastructure.

To overcome this obstacle, Nguyên Anh Tuân felt it was imperative to tackle the main hindrance: the institutional framework. At the same time, innovative policies are needed to support new growth drivers, such as semiconductors and artificial intelligence.

Lim Dyi Chang has identified seven key factors that foreign investors consider essential for a long-term commitment to Vietnam: efficient infrastructure, a stable and transparent legal framework, public-private collaboration that fosters workforce development and innovation, an efficient financial ecosystem and capital markets, a strong middle class, and a strong economy.s and capital markets, a growing middle class driving consumption and production, clear commitments to sustainable development, and a legal framework adaptable to the digital economy.

According to Lim Dyi Chang, if Vietnam is to establish itself as a strategic hub for foreign investment over the long term, it must prioritize investment in the foundations of its development, rather than relying solely on competitive incentive policies.

Source: lecourrier.vn/