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Vietnam’s journey to digitising the country, commercialising 5G

By the end of 2021, 5G network was commercially tested in 16 provinces and cities

Vietnam’s digital economy has grown at a 10 percent annual rate and is expected to exceed USD200 billion by 2045. Nguyen Quang Ngoc Tonkin/Shutterstock

Vietnam is catching up to the approximately 70 countries that have commercialised 5G, according to The Star.

The country seeks to digitalise government, economy, and society. 5G is projected to play a key role in this by improving broadband connectivity, expanding rural coverage, bridging the digital gap, developing Industry 4.0, and increasing the contribution of the digital media sector to the country’s GDP.

During a talk organised by the Dau Tu Investment newspaper, three major carriers, including MobiFone, Viettel, and VinaPhone, have been reported to have conducted trials in cities like  Hanoi and Ho Chi Minh City by the end of 2020. They have been expanding to other cities since then.

By the end of 2021, 5G network was commercially tested in 16 provinces and cities.

More: How 5G will affect Vietnam’s commercial real estate

Vietnam will benefit from digital transformation as it strives to become a high-income country by 2045 achieve a net-zero emissions economy by 2050, VnExpress reported.

According to Alfonso Garcia Mora, regional vice president for Asia Pacific at the International Finance Corporation, Vietnam currently faces two significant challenges: increasing worker productivity to become a wealthy country while learning to adapt to climate change.

“From the above two challenges, we have a common key to solve it through technology and digital transformation. It is no longer an option, it is a must,” said Alfonso.

According to World Bank data, Vietnam’s digital economy has grown at a 10 percent annual rate and is expected to exceed USD200 billion by 2045, a significant sum when compared to last year’s GDP, which was roughly USD352 billion.

Successful digital transformation would require collaboration between the public and private sectors. Moreover, the government must have a clear strategic vision for how much of the economy will be digital by 2050.

Digital transformation is not only helping Vietnam grow richer, but it is also reducing risks and boosting climate change adaption. As a result, digital transformation must also include sustainable development.

The Property Report editors wrote this article. For more information, email: [email protected].

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