The Ministry of Industry and Trade held a forum in Hanoi on April 11 to evaluate the impacts of the fourth industrial revolution (4IR) on Vietnam’s socio-economic affairs as well as organizations and businesses.

Deputy Minister Ho Thi Kim Thoa said the 4IR is forecast to change the entire system of production and administration around the globe.

The 4IR is at the starting period, so it is necessary for Vietnam to promptly grab the opportunity to speed up industrialisation and modernisation towards the goal of becoming a modern industrialised country, she added.

However, the country will be under great pressure if it fails to define clear targets and suitable approach via economic reshuffle, education reform, and science-technology development, she noted.

Head of Vietnam Institute of Economics Tran Dinh Thien said the 4IR is creating challenges relevant to adjustment costs in the short and medium run due to its uneven impacts on separate sectors.

The rapid growth of many businesses would generate new technologies but also eliminate those who cannot catch up with the trend, he added.

So far Vietnam has geo-economic advantages along with an abundant and young workforce, but the 4IR will eliminate those advantages, he said, noting that the country needs a different and feasible approach to optimise opportunities from the 4IR.

Apart from improving education-training, human resources, and infrastructure, Vietnam should stimulate and promote innovation among businesses, he recommended.

Country Director of the UN Development Programme (UNDP) in Vietnam Louise Chamberlain said the 4IR is one of the most useful and quickest ways to help Vietnamese enterprises increase productivity and competitiveness.

The UN in Vietnam is willing to cooperate with the country to seize opportunities from the 4IR.