At the Viet Nam Innovation Day 2024 held in the capital of Ha Noi on October 1, Prime Minister Pham Minh Chinh highlighted the importance of innovation and technology in promoting economic growth, digital transformation and green transformation.

Innovation is increasingly demonstrating its important role in boosting rapid and sustainable development as well as helping Viet Nam enhance its competitiveness in the context of international integration.

With the rapid development of science and technology, innovation has become an essential factor, not only supporting domestic enterprises but also promoting startup activities, thereby contributing to the country's modernisation process.

In recent years, Viet Nam has achieved many remarkable achievements in developing the innovation ecosystem. The establishment of the National Innovation Centre (NIC) in 2019 marked a major step forward. With the mission of supporting and developing the innovation ecosystem, NIC has greatly contributed to connecting domestic and foreign enterprises, hereby fostering the development of tech-startups in the country.

By 2024, NIC has supported and incubated more than 1,000 startups, connected over 1,500 enterprises, and developed a network of nearly 2,000 members in 20 countries worldwide.

In particular, NIC has concentrated on hi-tech fields such as artificial intelligence (AI), semiconductors, environmental technology, and cybersecurity. This not only helps Viet Nam quickly access the latest technology trends but also plays an crucial role in transforming the economic model towards modernity and sustainability.

In the general trend of the whole country, Da Nang is emerging as a locality with great potential in developing an innovation ecosystem. As a major economic, educational and technological hub of the Central region, Da Nang has many advantages to become a leader in this field. The city has taken strong steps to promote startups and innovation through developing technological infrastructure, and issuing policies to support businesses and startups.

Notably, Da Nang is operating the Innovation and Startup Support Centre, the Danang Semiconductor and Artificial Intelligence Center for Research and Training, and the city’s High-Tech Park and Industrial Parks. These places attract many large technology enterprises, while creating a favourable environment for local startups to develop.

In addition, Da Nang is actively calling for investment funds, international organisations and large technology partners, to develop cutting-edge technology fields such as artificial intelligence, smart cities, and renewable energy.

However, Da Nang is also facing many challenges during the process of developing an innovation ecosystem. One of the biggest challenges is attracting high-quality human resources. Although Da Nang has the advantage of high-quality universities and the University of Da Nang is on its way to becoming a National University, retaining young talents requires the city to have better remuneration policies and a modern working environment for young people to have a passion for entrepreneurship and innovation. Additionally, accessing investment capital for start-ups is also a challenge.

Most start-ups in Da Nang still have difficulty accessing investment funds and financial resources to scale up and develop products.

To solve the problem, the city needs to create more favourable conditions for investors, especially those from developed countries and international organisations.

It can be seen that innovation is and will continue to be an important factor, contributing to the sustainable economic development not only in big cities such as Ha Noi and Ho Chi Minh City but also in localities, notably Da Nang.

With strong promotion policies from the Central Government, especially the announcement of the annual National Innovation Festival, Viet Nam is showing its determination to make innovation a pillar for economic and technological development in the digital age.

Da Nang, with its potential and strategic position, needs to continue to make more efforts in developing an innovation ecosystem, with a focus on building technology infrastructure, attracting high-quality human resources and creating favourable conditions for start-ups. The development of Da Nang will not only contribute to enhancing its position but also creating a driving force for the overall development of the country in the new era.

Reporting by CHU VAN - Translating by M.DUNG, V.DUNG