Vietnam bets on 5G expansion to fuel economic growth
Vietnam is ramping up 5G expansion under a new government directive aimed at boosting digital infrastructure and driving economic growth.
Directive No. 05 on economic growth solutions, issued by Prime Minister Pham Minh Chinh on March 1, describes digital transformation, innovation and advanced technology as key economic drivers.
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It calls for a digital shift across all sectors, leveraging science, technology and data while ensuring cybersecurity.
"The Ministry of Science and Technology must accelerate 5G commercialization, research 6G technology, develop telecommunications satellites, and upgrade national infrastructure.
"Expanding investment in high-speed fixed broadband infrastructure is also essential."
Vietnam’s digital infrastructure strategy for 2025 says "digital infrastructure is the foundation of the economy," with telecommunications and the Internet as key components.
The strategy aims for 100% of provinces, cities, high-tech parks, IT hubs, R&D centers, innovation zones, industrial areas, train stations, seaports, and airports to have 5G mobile services by 2025.
Military-owned telecom provider Viettel started rolling out 5G in all 63 provinces and cities in October 2024, and VNPT followed suit in December.
However, coverage remains limited, with only a few thousand base stations compared to nationwide 4G networks. As of January 2025 Viettel had 5.5 million 5G users.
Meanwhile, Resolution No. 193, issued by the National Assembly on Feb. 19, addresses pilot mechanisms and special policies to drive breakthroughs in science, technology, innovation, and national digital transformation.
It also introduces financial support for businesses to accelerate 5G deployment.
Telecom firms that establish at least 20,000 certified 5G base stations between the resolution’s effective date and Dec. 31 2025, will receive a 15% subsidy on equipment costs.
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