Vietnam, US sign $3.25mn MoU to promote Vietnam’s digital trade development
Vietnam, US sign $3.25mn MoU to promote Vietnam’s digital trade development
The U.S. Agency for International Development (USAID) and Vietnam’s Ministry of Industry and Trade (MoIT) have launched a ‘Vietnam Digital Trade’ activity worth US$3.25 million funded by the former to help the country improve its competitiveness in the global digital economy.
USAID Mission Director for Vietnam Aler Grubbs and Vietnam’s Deputy Minister of Industry and Trade Phan Thi Thang are seen at the ceremony for signing a MoU on ‘Vietnam Digital Trade’ activity in Hanoi, Vietnam on October 13, 223. Photo: USAID |
The activity is described in a Memorandum of Understanding (MoU) signed between Deputy Minister of the ministry, Phan Thi Thang, and USAID’s Mission Director for Vietnam Aler Grubbs at a ceremony in Hanoi on Friday.
The activity comes as part of the new U.S. - Vietnam Comprehensive Strategic Partnership announced during U.S. President Joseph Biden’s visit to Vietnam last month, according to USAID.
During the recent visit, President Biden emphasized the U.S.’s commitment to support Vietnam to compete in a digital global economy, Grubbs told the MoU signing ceremony.
She added that the USAID was pleased to sign the MoU with the ministry.
Under the three-year activity, called Vietnam Digital Trade, USAID supports the ministry to implement policy frameworks that facilitate digital trade, in consultation with the private sector, USAID said in a press release.
“Regulations that are responsive to private sector needs remove trade bottlenecks and increase regulatory transparency, helping to shape an e-commerce sector where enterprises of all sizes can benefit,” according to USAID.
The digital trade activity under the $3.25-million MoU is the first to be launched under the two countries’ newly upgraded partnership and will go a long way toward unleashing the potential of digital trade to form a key driver of the country’s continued growth, Grubbs stressed.
She believed that this MoU will contribute to unlocking the potential of digital trade, making it a key driver for Vietnam’s continued growth.
Addressing the event, deputy minister Thang affirmed digital trade development will contribute to realizing Vietnam’s sustainable and inclusive development goals as it will help the country consume less resources and facilitate enterprises and people to access any development resources, thereby leaving no one behind.
In addition, the Vietnam Digital Trade activity encourages small and medium enterprises’ participation in digital trade by introducing new business models and other best practices, including traceability of goods, as well as facilitating cross-border connections between enterprises via MoIT’s digital trade promotion platform, called DECOBIZ.
The activity also advances the Indo-Pacific Economic Framework for Prosperity (IPEF), under which Vietnam and the U.S. partner to harness innovation and pursue high-standard rules of the road in the digital economy to drive continued growth, according to USAID.
As part of the activity, USAID will support the Vietnam Chamber of Commerce and Industry (VCCI) and the Vietnam E-Commerce Association (VECOM) to promote digital trade nationwide.
In addition, “the project works through MoIT and business associations to target female-owned enterprises and minority communities in support of inclusive economic growth,” USAID stated.
