Viet Nam: A promising destination for innovation investment

According to the 2024 Viet Nam Technology and Innovation Investment Report, global venture capital funding declined by 35 percent, while Viet Nam posted a more modest 17 percent drop, still attracting US$529 million from nearly 100 investment funds.

Vu Quoc Huy, Director of the National Innovation Center (NIC), emphasized that Viet Nam is entering a critical period in its national development, where science, technology, innovation, and digital transformation are indispensable pillars. Attracting investment, especially private capital, is key to accelerating this journey.

Addressing concerns over potential impacts from global trade frictions, Vinnie Lauria, Board Member of the Viet Nam Private Capital Association (VPCA) and Founding Partner at Golden Gate Ventures, expressed optimism about the country's outlook.

He said Viet Nam's innovation investment landscape is unlikely to be significantly affected. On the contrary, the current climate may benefit the country, with an expected emergence of 100 to 1,000 Vietnamese startups.

"We are committing one-third of our US$100 million fund to invest in Viet Nam, demonstrating the country's enduring appeal," Lauria said.

Also, he noted that U.S. tariffs may be temporary and narrowly targeted, thus unlikely to disrupt investment decisions.

To reach the ambitious goal of US$35 billion in innovation-related investment by 2035, Lauria recommended three key reforms: allowing Vietnamese nationals to hold shares in foreign, especially tech, companies; streamlining visa procedures for international experts; and improving airport entry procedures.

In recent years, Viet Nam has introduced policy reforms to attract and retain capital in innovation, including incentives tailored to the innovation sector and efforts to improve human resource quality.

The government focuses on nurturing talent in semiconductors and AI, while creating legal frameworks to boost competitiveness.

Notably, Resolution 57 of the Politburo emphasizes mobilizing and efficiently using all investment sources for science, technology, and innovation—particularly encouraging private sector funding.

Scheduled for April 22, 2025, in Ha Noi, the VIPC Summit will gather over 1,000 delegates, including more than 200 international investors.

Discussions will explore visions, policy direction, capital raising, IPOs, M&As, and networking with significant global investment funds such as Temasek, CDH Investments, Partech Ventures, and Mekong Capital./.