The Politburo’s Resolution No. 57-NQ/TW on advancing science, technology, innovation, and national digital transformation (Resolution 57) has created high expectations from policymakers and scientists. In a rapidly evolving global landscape, delays in implementation risk widening the gap between Vietnam and developed nations. As a result, the swift implementation of the Resolution 57 is a pressing priority.
Removing bottlenecks
To implement Resolution 57, policymakers must candidly identify obstacles impeding science, technology, and innovation. Currently, small and medium-sized enterprises continue to struggle, unable to resolve the contradiction of needing and wanting to leverage technology, while lacking the financial resources and human capital to invest in or collaborate with scientific and technological organizations.
Inconsistencies within the legal system, spanning various sectors, create implementation challenges, representing a significant institutional bottleneck. This is particularly evident in the operations of science and technology enterprises.
In Ho Chi Minh City, 127 enterprises have established a Science and Technology Development Fund, allocating over VND6,020 billion. However, only VND2,108 billion has been utilized from this fund. The fund's regulations are not aligned with current policies, and the accounting, financial management, and tax regimes remain overly complicated, preventing the fund from maximizing its potential benefits for businesses.
Transport and energy infrastructure has not met development needs, the transport network lacks connectivity, the energy supply is unstable or insufficient to meet demand, disrupting business operations.
In 2024, several international corporations considered investing in Vietnam but ultimately opted out, citing concerns over unreliable power supply as one of the key factors.
This can be seen as an example of infrastructure bottlenecks. Although many policies and innovation programs have been implemented in the past, recording some results, overall, the startup and innovation environment has not been strongly promoted, lacking support mechanisms for startups.
Vietnamese startups saw significant investment between 2014 and 2023, attracting over US$4.6 billion , with a peak of $1.44 billion in 2021 alone. However, in 2024, investment dropped to $529 million, a 17 percent decrease from 2022, highlighting the sector's reliance on foreign funding.
Therefore, to strengthen internal capacity, comprehensive policies—particularly direct government support for startup funding—are essential. For instance, despite delays, the Ho Chi Minh City Center for Creative Entrepreneurship is over 90 percent complete and expected to open in the third or fourth quarter of 2024. However, its prolonged construction highlights ongoing passivity in implementation.
Innovation needs to be thoroughly recognized, which is reflected in the lack of connection between scientific research and practical application, many scientific research results are not converted into specific products or services, leading to waste of research resources.
Turning the resolution into action through formal processes
To ensure Resolution 57 drives significant positive change, responsible agencies must promptly resolve key bottlenecks. Specifically, they need to expedite the legal and regulatory institutionalization of the resolution, effectively removing intellectual property barriers that impede the transfer of research from scientific institutions to enterprises.
To achieve this, intermediary science and technology organizations must collaborate with universities and research institutes to transfer prototype-based innovations to businesses at reasonable costs. These institutions should also address challenges related to intellectual property rights for state-funded research. In the short term, supporting and encouraging small and medium-sized enterprises (SMEs) to invest in technological innovation is crucial. Additionally, implementing a post-audit mechanism can help accelerate the execution process.
State management agencies, science and technology organizations, businesses, and individuals must adopt an innovative mindset. They should propose suitable mechanisms and policies to support development practices, and mobilize resources across society.
Secretary of the Ho Chi Minh City Party Committee Nguyen Van Nen has issued an action program to implement Resolution 57. Accordingly, the southern largest city has set clear targets. By 2030, the city’s R&D funding will reach 2 percent of GRDP, with at least 3 percent of the annual budget allocated to science and technology development, innovation, and digital transformation—gradually increasing as needed. To achieve these goals, especially as a hub for science, technology, and digital transformation, it is essential for Resolution 57 to be institutionalized into laws, regulations, and central-level decisions.
One of examples is the issue of intellectual property rights when transferring research results, or support and incentive policies for small and medium-sized enterprises to invest in technological innovation activities.
Furthermore, a practical step is to establish intermediary science and technology organizations funded by the city. These entities would collaborate with universities and research institutes to refine prototype-based research into industrial-grade technologies or products, making them ready for transfer to SMEs at reasonable costs.
Plus, Korea Institute of Industrial Technology offers a model that has proven effective, and merits closer examination.
In addition, the city also needs to consider additional mechanisms and policies to unlock resources from the National Assembly’s Resolution 98 to support and encourage businesses to invest in technological innovation activities, and at the same time ask the central Government for permission to apply the post-audit mechanism to speed up the implementation process.
Last but not least, Ho Chi Minh City identifies, cultivates, and supports science and technology enterprises with strong potential, advanced capabilities, and innovative products to drive the objectives of its action program for the Resolution 57 implementation. This initiative aims to enhance existing business value while strengthening the city's technological foundation. To elevate the quality of science and technology activities, technology hubs such as Ho Chi Minh City High-Tech Park, Ho Chi Minh City Biotechnology Center, and Quang Trung Software Park must modernize their operations—not only attracting investment but also directing it toward key products and fields aligned with Resolution 57.
