Creating a strong enough legal corridor to break through technology

Amending the Law on High Technology is becoming an urgent need in the context of Vietnam's determination to realize Resolution No. 57-NQ/TW of the Politburo on breakthroughs in science and technology development, innovation and digital transformation. To become a breakthrough "creating" tool, the Law must be transparent, stable, attractive to investment, and at the same time promote research, development and commercialization of high technology.

Amendments to the Law are necessary to meet development requirements.

The High-Tech Law, enacted by the National Assembly in 2008, is the first and only law in Vietnam to comprehensively regulate the high-tech sector. After 16 years of implementation, many provisions in the Law have revealed limitations, some clauses lack consistency with specialized laws, or are no longer suitable for the current socio-economic situation.

In the context of the rapidly developing digital economy, high technology, and innovation, amending the Law is necessary to realize the spirit of Resolution No. 57-NQ/TW dated December 22, 2024, of the Politburo . The strategic goal for national development by 2045 is for Vietnam to have a digital economy accounting for at least 50% of GDP, becoming a regional and global digital technology industrial center, and ranking among the top 30 countries in innovation and digital transformation. To achieve this, the Law must become a "creative" tool rather than just a management tool.

One of the key points emphasized by National Assembly deputies and experts is that a sound legal framework needs to be accompanied by specific coordination mechanisms and resources. For example, regarding financial resources, the Law should clearly define the decentralization, delegation of authority, and responsibilities of ministries, sectors, and localities to avoid duplication and fragmentation. Inter-sectoral coordination mechanisms and testing mechanisms (sandboxes) for new technologies must also be clearly designed to support innovative businesses.

Chairman of the Committee on Science, Technology and Environment Nguyen Thanh Hai emphasized: It is necessary to clarify the resources for implementation and the coordination mechanism between agencies, while only applying incentives to businesses that meet high-tech criteria. In particular, projects in ethnic minority areas, border regions, and islands need tax exemptions and reductions, 0% interest rate support for digital infrastructure development, and priority land allocation for high-tech zones.

Regarding research and development (R&D) activities, the Law needs to include incentives for research into core and open technologies, supported by the Science, Technology and Innovation Development Fund. At the same time, it is necessary to avoid duplication with budgetary regulations in the Law on Science, Technology and Innovation.

Create a sufficiently strong legal framework to facilitate technological breakthroughs.

The criteria and categories for high-tech technologies need to be clear and quantifiable.

Another important point is establishing measurement criteria for high-tech activities. Delegate Nguyen Tuan Anh (Can Tho delegation) noted that the current criteria are too general and need to include quantitative elements such as the number of patents, the level of value-added contribution, and the percentage of high-quality human resources involved. This would both ensure transparency and make it easier to assess actual effectiveness.

Furthermore, the Law needs to establish a list of priority high-tech sectors for investment, serving as a basis for identifying industries requiring support and encouragement for technology transfer, instead of relying entirely on detailed regulations from the Government later on. This would also help businesses and investors easily determine their development strategies.

During workshops on the draft law, many opinions suggested that the incentive mechanisms and criteria for establishing high-tech zones, high-tech cities, and high-tech agricultural zones are still too general and not specifically quantified. This easily creates loopholes for policy abuse. Therefore, adding quantitative criteria and linking them to security and safety requirements for businesses, especially those with foreign elements, is absolutely necessary.

Another crucial aspect is the definition of concepts and terminology. If concepts are not clearly defined, it will hinder implementation. Laws need to be easily understood, consistent, and in line with international practices, so that regulatory agencies, businesses, and investors all have a solid legal basis.

One of the notable new points in the draft amendment to the Law is the mechanism for contributing capital in the form of technology. This is considered a solution to the problem of "freezing" intellectual property assets, allowing businesses to use know-how and technological solutions as investment capital. However, if the parties are allowed to determine the value of the capital contribution themselves, it could lead to the risk of inflated value, creation of fictitious capital, and distortion of the investment environment.

The High-Tech Law should not only create a favorable environment for the development and commercialization of high technology, but also nurture high-quality human resources and form an innovation ecosystem. This requires policies on training, attracting experts, incentives for research, and linkages between businesses, universities, and research organizations to be institutionalized in the Law or guiding decrees.

Synchronized coordination between the High-Tech Law and policies on taxation, land, finance, and business management is a key factor in making the Law a tool for promoting technological breakthroughs, rather than just an administrative management tool.

Revising the High-Tech Law is no longer a theoretical issue, but an urgent requirement for Vietnam to avoid missing opportunities in the era of digital technology and innovation. A truly appropriate, transparent, stable, and feasible High-Tech Law will help realize the vision for 2045: becoming a leading nation in the region in innovation, digital economy development, and high technology.

This requires key elements: a clear and transparent legal framework; specific incentive mechanisms; quantitative criteria; inter-sectoral coordination mechanisms; transparent valuation for technology-based investments; along with policies for developing human resources and an innovation ecosystem. By achieving this, the High-Tech Law will not only be a management tool but also a solid springboard, creating technological breakthroughs and development opportunities for the entire economy.

Center for Science and Technology Communication

Source: https://mst.gov.vn/tao-hanh-lang-phap-ly-du-manh-de-but-pha-cong-nghe-197251117151655602.htm