VIETNAM’S DIGITAL ECONOMY SETS HIGH GROWTH Q1

The Ministry of Information and Communications (MIC) on April 7 held a meeting to review the first-quarter performance and set future tasks. The event was chaired by Minister of Information and Communications Nguyen Manh Hung and was attended by the ministry’s departments, ICT companies, and leaders of the media.

According to the ministry’s report, revenue of the industry in March was estimated to hit $14.15 billion), up 30 per cent on-month, thus increasing its total revenue to $23.85 billion in the first quarter, down 3 per cent on-year, and meeting 20 per cent of the yearly target.

The industry’s state budget contribution was estimated at $385.65 million in March, up 10 per cent on-month, and $1.06 billion in the first quarter, up 9 per cent on-year.

The growth rate of the digital economy in the first quarter of 2023 was 13.6 per cent, an increase of 3.99 per cent compared to the end of 2022. The proportion of the digital economy to GDP in the first quarter of 2023 was 14.62 per cent.

Representatives of businesses and associations discussed possible problems of the proposal to apply excise tax on online games; universalisation of network information security services for the whole population; promoting the Internet of Things (IoT) ecosystem in Vietnam; and the development of the e-commerce market in Vietnam.

In the upcoming months, the minister set out tasks for the industry to make good results in 2023. Accordingly, enterprises that have cooperation with ministries, agencies, and localities must pay attention to re-evaluate the IT systems of ministries and localities to propose upgrading, ensuring connection, sharing of data and quality of online public services.

The year 2023 will be used by AI to create virtual assistants, contribute experts in fields, businesses and organisations. Minister Hung noted, “2023 is the year to promote quality in all activities, not only laws, but also the quality and sustainability of digital infrastructure. It is the year of data. It is necessary to clarify the content, assign tasks to units of the ministry, other ministries, agencies and localities."

Source: VIR