10:39 | 16/03/2016 Science - Technology
(VEN) - The Vietnamese business media has increasingly turned its attention to the country’s start-up scene. The government can also play a role in developing an environment that can nurture the development of new businesses.
Support for start-up activities is needed
A start-up year
Minister of Science and Technology Nguyen Quan said that the Ministry of Science and Technology would promote start-up activities, including strengthening venture investment as well as supporting the increasing appetite for start-ups among entrepreneurs.
“If start-ups can’t develop in the next 5-10 years, Vietnam will face difficulties in international economic integration,” Quan said. Start-up activities should have begun many years ago, but a lack of legal foundation made it slow. When some new regulations related to the start-up ecosystem, including the establishment of venture investment funds have been completed, science and technology start-ups can be promoted.
Other start-up nations have paid special attention to start-up for a while and achieved success. For example, Israel is seen as a start-up nation as people have its spirit and have been supported by venture investment funds and systems to achieve success.
Nguyen Quan said that the Ministry of Science and Technology has issued a regulation on the imminent establishment of a high-tech venture investment fund when drafting the High-tech Law in 2008. Many people said that this fund should have been implemented by the private sector and it did not require the state to participate.
However the private sector could have a sense of responsibility when facing lack of legal framework without the participation of the state.
The Ministry of Science and Technology piloted a project to commercialize technology based on a Silicon-Valley style model three years ago. The ministry provided funding to invite domestic and foreign experts and call for research groups.
Some three teams were accepted by foreign investors among the nine start-up groups and few projects were valued at US$2 million after completion.
The project has been submitted to the prime minister and is waiting for approval to become the national project. “Start-up activities can’t achieve success if there aren’t any investors or support,” Quan said.
Minister of Science and Technology Nguyen Quan said that Vietnam should take its inspiration from other countries that encourage start-ups. Therefore, many mechanisms and policies are being developed in order to support for these activities.