Promoting cooperation, creating new momentum for green startup initiatives in Vietnam

The Forum is an important event within the framework of the Partnership for Green Growth and the Global Goals 2030 (P4G 2025) Summit.

As an open dialogue space between policy makers, businesses and investors, focusing on support mechanisms, models to encourage green investment, innovation and sustainable startup ecosystem development, the Forum was attended by more than 300 delegates who are leaders of ministries, branches, international organizations, businesses, investors, domestic and international experts.

Speaking at the opening of the Forum, Deputy Minister of Science and Technology Hoang Minh emphasized: The Forum aims to promote cooperation and seek solutions for the green transition process, demonstrating Vietnam's strong commitment to accompanying the international community on the journey towards a future of harmonious development between the economy and the environment - where green growth is not only a goal but also a driving force for sustainable development.

Deputy Minister of Science and Technology Hoang Minh speaks at the Forum

Green transformation is no longer an option but an inevitable requirement. To realize the Net Zero goal by 2050, Vietnam needs to continue promoting innovation, mobilizing investment resources, and creating a favorable environment for innovative startups to develop sustainably.

Green transition is no longer an option but an inevitable requirement

In Vietnam, the Party and State have early identified green growth as a core development strategy, reflected in a series of specific policies and guidelines such as: Decision No. 1393/QD-TTg September 25, 2012 of the Prime Minister approving the National Strategy on Green Growth; Decision No. 1658/QD-TTg dated October 1, 2021 of the Prime Minister approving the National Strategy on Green Growth for the period 2021-2030, with a vision to 2050; Decision No. 167/QD-TTg dated February 8, 2022 of the Prime Minister: Approving the "Program to support private sector enterprises in sustainable business for the period 2022-2025", providing financial mechanisms and preferential policies to encourage innovative startups in this field.

Decision No. 687/QD-TTg dated June 7, 2022 of the Prime Minister: Approving the Circular Economy Development Project in Vietnam. The National Science and Technology Program "Net Zero" KC.16/24-30, chaired and implemented by the Ministry of Science and Technology, aims to promote research and transfer of green technology, contributing to the implementation of the commitment to net zero emissions by 2050 that Vietnam declared at COP26.

These strategic directions have been creating a favorable foundation to promote a wave of innovative startups in the fields of green technology, renewable energy, circular economy and emission reduction solutions.

Deputy Minister Hoang Minh said: “The picture of Vietnam's innovative startup ecosystem currently has more than 4,000 innovative startups, including 2 unicorns, 11 businesses valued at over 100 million USD, more than 1,400 startup support organizations, 202 co-working spaces; 208 investment funds; 35 business promotion organizations. Of these, it is estimated that about 200-300 businesses focus on green transformation, including areas such as renewable energy, environmental technology, sustainable agriculture and circular economy. This number is equivalent to about 5-7% of the total number of startups today.”

In the field of green transformation, businesses in Vietnam are making important strides in developing technological solutions to contribute to environmental protection and promote sustainable development.

Mr. Pham Hong Quat, Director of the Department of Startups and Technology Enterprises, Ministry of Science and Technology, shares about challenges and opportunities for developing green startups.

Mr. Pham Hong Quat, Director of the Department of Startups and Technology Enterprises, Ministry of Science and Technology, shared at the Forum the difficulties and challenges in developing green creative startups, in which capital is still the most difficult because capital for green projects is often long-term projects. Therefore, the important contribution of consulting organizations is needed.

However, according to Mr. Pham Hong Quat, green transformation startups still have many opportunities for development. In fact, there have been typical "faces" calling for capital from 1 to 5 million USD for green energy projects, green technology, waste recycling, green transportation, etc.

The Ministry of Science and Technology is providing specific directions and solutions such as: Establishing national and local venture capital funds and national innovation startup exchanges; Providing tax incentives for startups operating in the field of sustainable development; Simplifying administrative procedures so that businesses can easily access preferential loans or financial support from the Government and international organizations.

With many years of experience working in the field of policy development and green business management, Associate Professor, Dr. Nguyen Dinh Tho, Deputy Director of the Institute of Strategy and Policy on Agriculture and Environment, Ministry of Agriculture and Environment, informed about policies to promote innovative startups in green transformation and sustainable development in Vietnam, helping delegates have an overview of the current policy system as well as innovative proposals to create a more favorable business environment, creating momentum for the development of innovative startups in the field.

Mr. Malee Fofana, Director of the Global Green Growth Institute, Asia region.

Dr. Malle Fofana, Regional Director for Asia, Global Green Growth Institute (GGGI) shared international experiences in promoting green innovation startups. Dr. Malle Fofana assessed that the need to promote climate action in the world is increasing. 75% of the world's technologies are in the early stages; it is necessary to turn these technologies into opportunities, into tangible results, especially technologies that address climate challenges.

It is worth mentioning that new green technologies are currently only focused on areas that are easy to solve, such as heavy industry, which discharges about 35% of waste into the environment, but only invests in cleaning technology to treat 11% of this waste, and only focuses on areas that are easy to treat.

The discussion session at this Forum also had the participation of Leaders and representatives of Leaders from P4G, State of Green, National Innovation Center, biomaterial startup Buyo Bioplastics and Touchstone investment fund with lively exchanges on the potential for multilateral cooperation, green financial mechanisms and how to balance economic-environmental-social growth in the innovative startup ecosystem.

Active participation and close cooperation

Today’s forum is an opportunity for policymakers, businesses and investors to discuss, identify challenges, find solutions and propose breakthrough initiatives to promote the green innovation startup ecosystem.

Deputy Minister Hoang Minh affirmed: “We are facing a great opportunity to jointly shape a green and sustainable future for Vietnam and the world. Innovation, creative startups and cooperation are the key to solving environmental problems and promoting the development of a circular economy.”

Deputy Minister Hoang Minh called for proactive participation and close cooperation from stakeholders - from the public and private sectors to international organizations - to join hands in realizing the aspiration of a green, effective and sustainable Vietnamese innovative startup ecosystem.

Ms. Robyn McGuckin, CEO, P4G said: In addition to supporting businesses, we have had support programs for Vietnamese ministries and sectors such as the Ministry of Finance, Vietnam Federation of Commerce and Industry...

Mr. Vo Xuan Hoai, Deputy Director of the National Innovation Center (NIC) shared in the discussion session that in addition to cooperation models, there needs to be comprehensive policies. Investors need to support finding capital sources for accessing green development funds. In addition, there needs to be a data analysis platform, a business support platform with connections to experts, and strengthening the green development supply chain model. Vietnamese businesses need to cooperate to enter the international market.

Dr. Malle Fofana, Regional Director for Asia, Global Green Growth Institute (GGGI) mentioned artificial intelligence (AI) in solving climate challenges, so that green climate technology can be implemented on the shortest path to the goal of net zero emissions... To do this, Dr. Malle Fofana emphasized the role of the Government, businesses, venture capital funds, international organizations, and public-private partnerships are very important to ensure that future generation startups receive the support they need.

The forum attracted more than 300 domestic and international delegates.

At the Forum, Mr. Pham Hong Quat, Director of the Department of Startups and Technology Enterprises, proposed: Building a green startup map in Vietnam, building an impact measurement area for green startups... Creative startups in the field of green transformation are one of the key driving forces to realize Vietnam's Net Zero commitment by 2050.

The Forum has contributed to shaping policy priorities, promoting public-private partnerships, and creating new momentum for green startup initiatives in Vietnam during the comprehensive transition towards net zero emissions.

“Through in-depth presentations and lively discussions at the Forum, we shared many valuable perspectives, from policies, incentive mechanisms, to practical models promoting green innovation. In particular, international experiences and cooperation initiatives have opened up more directions and cooperation opportunities for the creative startup ecosystem in Vietnam,” said Mr. Pham Hong Quat.

Mr. Quat also affirmed: “We are committed to continuing to be a bridge between entities in the ecosystem, accompanying policy makers, businesses, and international partners to realize sustainable development initiatives through green innovation.”

Source: https://nhandan.vn/thuc-day-hop-tac-tao-dong-luc-moi-cho-cac-sang-kien-khoi-nghiep-xanh-tai-viet-nam-post872831.html