Thang Long - Hanoi

Internet helps increase Vietnam’s GDP
25/04/2012 | 19:08:36
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Internet contributes 0.9 percent to total Vietnam ’s GDP and 1.6 percent to the country’s total 14.4 percent GDP growth.

This is part of a report by McKinsey & Company, which was released in a conference themed, “The effects of the internet on economic development in Vietnam ” held on Apr. 25 in Hanoi .

The report, called “Online and upcoming: The internet’s impacts on rising countries”, is based on a survey conducted among 30 countries.

According to the report, the Internet also helps small and medium enterprises increase business effectiveness by 19 percent.

Speaking at the conference, Deputy Minister of Information and Communication, Le Nam Thang, said the internet has developed strongly in Vietnam , with more than 30 million internet users out of the nation’s total population of 87 million.

He said the robust growth of the telecommunication and information technology sectors in recent years will potentially create breakthroughs for the Vietnamese economy, helping Vietnam integrate more deeply with the world.

The Vietnamese Government considers the internet as an important national infrastructure, assisting other sectors, he said.

However, Shaowei Ying, Vice Director of McKinsey & Company’s Singapore office said electronic commerce in Vietnam has not been adequately invested and exploited. Vietnamese enterprises have not yet made full use of the internet to maximise their effectiveness and reach more customers.

Participants at the conference suggested that in future the government should promote investment in internet infrastructure and expand coverage to rural areas.

They also recommended that Vietnam strengthen its manufacture and exports of information technology products in order to attract more foreign investment.-VNA
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