Singapore, Vietnam to boost innovation, tech collaboration amid strong economic ties

[HANOI] Singapore and Vietnam have agreed to strengthen partnerships in innovation and technology, through talent development and opportunities for small and medium-sized enterprises (SMEs) and startups.

The two countries inked a new memorandum of understanding (MOU) on Sunday (Aug 27), to promote collaboration activities between Singapore’s Agency for Science, Technology and Research (A*Star) and Vietnam’s National Innovation Center (NIC).

Under the MOU, A*Star and NIC will boost partnerships in areas such as talent attraction and development; deepening technology and ecosystem development; and collaboration opportunities in advanced manufacturing for Singapore and Vietnam SMEs and startups.

Second Minister for Trade and Industry Tan See Leng witnessed the signing of the new agreement on the sidelines of the 17th Singapore-Vietnam Connectivity Ministerial Meeting.

At the meeting, Dr Tan and his co-chair, Vietnam’s Planning and Investment Minister Nguyen Chi Dzung, agreed to expand the scope of the annual meeting to cover the “new and emerging areas” of energy connectivity, sustainability, as well as digital and innovation.

The expansion of topics to be covered by the meeting “reflects the changing and expanding economic partnership between Singapore and Vietnam”, said Singapore’s Ministry of Trade and Industry.

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The meeting was part of Dr Tan’s engagements in Hanoi, in conjunction with Prime Minister Lee Hsien Loong’s three-day official visit to the capital. During his visit, PM Lee will meet with Vietnamese Prime Minister Pham Minh Chinh, as well as witness the ground-breaking of several new industrial parks.

The Singapore-Vietnam Connectivity Ministerial Meeting is a key economic platform established under the Singapore-Vietnam Connectivity Framework Agreement (CFA), which was signed by both countries in 2005.

To reflect the expanded areas of cooperation between the two countries, both Dr Tan and Dzung will exchange letters on the CFA upgrade on Monday. This will be witnessed by PM Lee and Chinh.

Singapore and Vietnam continue to share strong bilateral economic ties. Bilateral goods trade between the two countries grew 16.4 per cent year on year to S$31.3 billion in 2022; services trade grew 9.4 per cent to S$7.4 billion in 2021.

In 2022, Vietnam was Singapore’s 11th largest trading partner. As at end-2022, Singapore was also Vietnam’s second-largest foreign investor, with a cumulative investment of US$70.8 billion.