Vietnam Seeks High-Income Status Through Economic Growth and Technological Innovation

Vietnam is charting a new course for economic growth, aiming to achieve high-income status by 2045. The World Bank has advised a shift away from traditional growth drivers such as low-cost labor and foreign investment. Future development should be propelled by enhanced productivity, innovation, and the strengthening of domestic enterprises capable of creating greater value added. A key focus in this strategic pivot is the semiconductor sector. Mastering semiconductor technology, the backbone of the digital economy, is increasingly crucial in global competition. The launch of a national semiconductor chip prototyping support center is expected to accelerate the country's drive towards technological self-reliance, necessitating the development of a highly skilled workforce and a robust innovation ecosystem. Regional economic development is also being prioritized. Son La province is urged to become a center for ecological agriculture, agro-processing, and distinctive tourism in the Northwest, while maintaining environmental sustainability and social welfare. Lang Son province aims to transform its border-gate economy into a new growth engine by accelerating institutional reforms, infrastructure development, and digital transformation to achieve double-digit growth. Phu Tho province is encouraged to prioritize high value-added and high-tech investments, rejecting labor-intensive, outdated, and environmentally harmful projects, to become an industrial powerhouse. Ho Chi Minh City targets double-digit gross regional domestic product (GRDP) growth, with the trade and services sector expected to remain its key growth engine, supported by recovering consumer demand and the approaching year-end shopping season. Under its stable political system, Vietnam is striving to enhance its global standing by balancing economic growth with technological innovation. The efficiency of policy-making within its one-party system, coupled with calls for public participation in safeguarding national security and social order, forms the foundation for economic development. Simultaneously, building international relations is deemed important, as evidenced by the promotion of a Comprehensive Strategic Partnership with Indonesia. Information Source: VietnamPlus English