However, for support policies to deliver tangible results, the gap between policy intentions and practical implementation must continue to be narrowed.
From policy to practice
A few years ago, digital transformation was primarily associated with government agencies and large corporations. Today, it is extending to individual shops, household businesses, and retail establishments. Selling products through digital platforms, accepting QR-code payments, and issuing electronic invoices are rapidly becoming standard business practices. This trend stems from Viet Nam’s broader strategy for developing the digital economy.
Politburo Resolution No. 57-NQ/TW identifies the digital economy as one of the key drivers of rapid and sustainable growth. More recently, the prime minister issued the Digital Economy and Digital Society Development Programme for the 2026–2030 period, setting a target for the digital economy to contribute around 30% of GDP by 2030. The programme also aims to support at least 500,000 small and medium-sized enterprises in digital transformation and provide basic digital skills training to at least 10 million working-age people.
Digital transformation is no longer solely the concern of government agencies or technology companies. It is increasingly being extended to the grassroots economic sector, which encompasses millions of household businesses, retail outlets, and service providers nationwide.
Digital transformation is no longer solely the concern of government agencies or technology companies. It is increasingly being extended to the grassroots economic sector, which encompasses millions of household businesses, retail outlets, and service providers nationwide.
This sector plays a crucial role in the circulation of goods and domestic consumption but continues to face significant limitations in digital skills, management capacity, and access to technology.
According to Le Truong Son, Vice Chairman of the Dong Nai Provincial People’s Committee, the province currently has more than 105,000 active household businesses. Local authorities regard them as vital contributors to economic growth. If given systematic access to digital technologies and support in adopting them, this sector could provide fresh momentum for local economic development while helping to create a community of digitally empowered household businesses.
A number of digital transformation support programmes are currently being implemented across localities. Following initial success in Thai Nguyen, Da Nang and Dong Nai have also been selected to pilot support schemes for household businesses under a collaborative model involving the state, businesses, and household enterprises.
Under these initiatives, household businesses receive support in accessing essential digital solutions, including sales management software, electronic invoices, digital signatures, cashless payment systems, e-commerce platforms, and artificial intelligence (AI) applications for business operations. The programmes also provide training in digital skills, data management, and guidance on transitioning from household businesses to formal enterprises.
These initiatives are designed to foster a community of digitally enabled household businesses while gradually standardising governance, financial management, and data practices. They are regarded as an important step in translating national digital economy strategies into practical outcomes, beginning with the largest group of economic actors in the country.
Digital transformation begins with real needs
In recent years, Viet Nam has continuously refined its legal framework for digital transformation. Major legislative instruments, including the Law on Digital Transformation, the Law on the Digital Technology Industry, the Data Law, and the AI Law, together with numerous decrees and action programmes, have established a relatively comprehensive legal foundation for the country’s digital transformation agenda.
Viet Nam has also developed large-scale digital infrastructure, including extensive 5G network coverage, national databases, the VNeID electronic identification platform, and a range of shared digital platforms serving both citizens and businesses.
However, experts note that a considerable gap remains between policy and practice. Many household businesses and small and medium-sized enterprises still struggle to determine where to begin their digital transformation journey, which solutions best suit their needs, and how to effectively utilise data in their operations.
In recent years, Vietnam’s institutional framework supporting digital transformation has continued to improve.
From a regulatory perspective, Deputy Minister of Science and Technology Bui Hoang Phuong argues that many people still view digital transformation primarily as an investment in additional machinery, software, or databases. While these are necessary conditions, they are not the decisive factor.
More importantly, digital transformation must begin with identifying practical challenges and bottlenecks and then using digital technologies to develop new approaches and processes. Its purpose is not simply to transfer existing tasks onto digital platforms, but to perform them more quickly, more simply, more transparently, and more efficiently. Once people and businesses experience these tangible benefits, they will actively participate and become drivers of the transformation process themselves.
This principle was emphasised at the Viet Nam Digital Summit 2026: “Digital transformation is not about digitising old processes, but about creating new ways of doing things based on digital technology.”
Nevertheless, the greatest barrier today often lies not in technology but in habits and mindsets. Many household businesses remain accustomed to manual management methods and are either reluctant to change or unconvinced of the benefits of digitising data, customer management, and payment systems.
As the government aims for the digital economy to account for around 30% of GDP by 2030, continued efforts are required to improve the institutional framework, invest in digital infrastructure and expand support programmes for grassroots economic actors. As the gap between policy and practice narrows, digital transformation will become a powerful driver of productivity growth and value creation, providing expanded opportunities for millions of household businesses across Viet Nam.
