Innovative Vietnamese start-ups must draw resources from international and domestic corporations: PM

The country has more than 1,400 start-up support organisations, 202 co-working spaces, 208 investment funds, 35 business promotion organisations, 79 incubators and about 170 universities and colleges engaging in innovative start-up activities.

Facing both opportunities and challenges in science and technology, Việt Nam's innovative start-ups must attract resources from international and domestic corporations while developing technology unicorn companies, said Prime Minister Phạm Minh Chính on Wednesday at the National Innovative Entrepreneurship Day (Techfest Vietnam 2024).

Hosted by the Ministry of Science and Technology and the Hải Phòng City People’s Committee from November 26 to 28, Techfest Vietnam 2024, themed 'Together accelerating Việt Nam’s start-up ecosystem', has provided a space for networking and knowledge exchange between emerging start-ups, investors and other key stakeholders, creating opportunities for long-term collaboration and business development.

Speaking at the opening ceremony on Wednesday, Minister of Science and Technology Huỳnh Thành Đạt said Việt Nam is one of the dynamic emerging economies and a development centre for innovative startups in the Asia-Pacific region. The intelligence and creativity of Vietnamese people have reached across the world, he said.

He noted that Việt Nam's innovative start-up ecosystem has grown rapidly over the past decade, promoting the emergence of pioneering enterprises applying new technologies and new business models, and is ready to compete in the global market.

In 2024, Việt Nam's Global Start-up Ecosystem Index jumped by two places, from 58th to 56th. Việt Nam ranks fifth in Southeast Asia and 12th in the Asia-Pacific.

“Our country's Global Innovation Index has continuously improved over the years," Đạt said. "In 2024, it increased by four places compared to 2022, ranking 44th out of 133 countries and economies.”

“We have witnessed a significant increase in the quantity and quality of innovative start-ups. From the very first steps, the innovative Vietnamese start-up ecosystem has become a bright spot in the region and the world,” the minister noted.

“In the era of digital transformation and green transition, innovative start-ups will continue to play an important role, accompanying and working side by side with the country to go further on the path of deep integration and sustainable development," he added.

Đạt said supportive policies for start-ups -- including Project 844, supporting the national innovative start-up ecosystem; Project 1665, supporting students in starting businesses; and Project 939, supporting women in starting businesses -- need to continue being expanded. This would ensure that the innovative start-up ecosystem continues to maintain its development momentum, increases competitiveness and remains a solid foundation for the sustainable growth of the Vietnamese economy.

PM Chính said the Party and State pay special attention to science, technology and innovation, considering this one of the top national policies for rapid and sustainable development. Innovative start-ups are a new growth driver, creating productive forces for development in the new era.

The leader emphasised the importance of time, intelligence and determination to catch up, move forward and surpass goals, including overcoming one's own limits.

He also pointed out a number of limitations, such as a lack of resources, slow innovation in thinking, and a failure to make breakthroughs in legal development.

Not many large enterprises are investing in innovative start-ups because infrastructure for piloting and testing technology has not met demands, he said.

Noting that start-ups need fresh thinking and new ways of taking action, he said there must be a supportive mindset, instead of “banning if you can't manage it”.

“Innovative start-ups need to dare to think, dare to do, dare to accept risks, dare to pioneer, dare to act, surpass oneself, and commit for the benefit of the nation, the people, and for the bright future of the country,” he said.

The Prime Minister outlined six key tasks and solutions to develop the innovative Vietnamese start-up ecosystem, including refining initiatives for innovation and entrepreneurship and identifying priority areas, with a focus on new productive forces as well as strategic areas such as the green economy, digital economy, circular economy and pioneering technologies.

Confirming that the government will create favourable conditions to support and promote the development of the innovative start-up ecosystem, he called for ensuring financial resources and facilities, developing a high-quality workforce, and promoting innovative start-up movements.

“Each innovative start-up needs to be an ‘innovation nucleus’ that creates new momentum for the economy, and affirms Vietnamese intelligence and mettle in the international arena,” he said.

“Organisations that support the start-ups act as a bridge in connecting start-ups with resources."

According to the Ministry of Science and Technology, Việt Nam now has about 4,000 innovative start-ups, including two unicorns and 11 businesses valued at over US$100 million each.

The country has more than 1,400 start-up support organisations, 202 co-working spaces, 208 investment funds, 35 business promotion organisations, 79 incubators and about 170 universities and colleges engaging in innovative start-up activities.