Vietnam Strengthens Ecosystem to Boost Science and Technology Firms

The challenges faced by science and technology startups in Vietnam, including limited resources and difficulties in research and development, are coming to the forefront. Experts emphasize that strengthening the ecosystem and enhancing collaboration among the state, researchers, and businesses is crucial for the development of this sector. According to the Authority for Innovation under the Ministry of Science and Technology, Vietnam has approximately 4,000 startups operating in the science, technology, and innovation fields, supported by over 30,000 high-quality employees. By 2025, it is projected that science and technology enterprises will generate revenues exceeding 196 trillion VND (approximately $8 billion USD), with the private sector accounting for 98.5% of these businesses. The Ministry of Science and Technology is advancing legal frameworks and policy mechanisms to complement the Law on Science, Technology, and Innovation. Notably, it has submitted decrees to the government, including Decree No. 268/2025/ND-CP, which legalizes criteria for recognizing innovative startups; Decree No. 264/2025/ND-CP aimed at facilitating venture capital funding; and Decree No. 271/2025/ND-CP, establishing mechanisms for research institutes and universities to form spin-off companies. Furthermore, the decentralization and delegation of authority are being promoted through Decree No. 133/2025/ND-CP, which fully assigns the procedure for recognizing high-tech enterprises to provincial People's Committees. The National Innovation System Development Strategy is being materialized through an action plan for innovation in 2025 and a roadmap towards 2030, alongside the development of innovation center networks in key localities. The science and technology market has also seen significant progress with the launch of the National Science and Technology Trading Floor and data connectivity with 19 local exchanges. However, experts point out that while the number of science and technology firms is substantial, the proportion of large-scale enterprises remains low. Mr. Hoang Duc Thao, Chairman of the Vietnam Association of Science and Technology Enterprises, highlighted the numerous innovations brought by member companies, with some achieving tens of trillions of VND in annual revenue, underscoring their economic potential. Yet, opportunities for breakthroughs are limited due to constraints in technology, capital, human resources, and networks, as well as competition among enterprises with similar objectives. While many research outcomes are confined to laboratory stages, technology firms require proven technologies that can be rapidly commercialized. The scarcity of professional technology transfer intermediary organizations hinders effective collaboration between scientists and businesses, increasing costs, time, and risks for startups accessing new technologies. Many opinions advocate for the development of professional technology transfer intermediary organizations to enhance connections between research institutes, universities, and enterprises. Establishing mechanisms to support enterprises in accessing technology, forming digital technology trading platforms, and creating risk-sharing funds for technology transfer are expected to reduce research costs and share risks during technology refinement and product commercialization. Dr. Dang Duc Anh, Acting Director of the Institute for Policy and Strategy Research (Central Committee's Policy and Strategy Department), stated that to overcome the difficulties faced by science and technology enterprises, it is necessary to strengthen collaboration among regulatory bodies, research institutes, universities, and businesses to promote the transfer and commercialization of research results. Concurrently, mechanisms are needed to support enterprises in investing in research and development, accessing preferential capital, new technologies, and high-quality human resources.