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Vietnam E-Government Plan Eyes US$1.5bn Annual Savings
Source: futuregov.asia
Source Date: Sunday, October 10, 2010
Focus: Knowledge Management in Government
Country: Viet Nam
Created: Oct 11, 2010

A newly approved Prime Ministerial decree in Vietnam will see all agencies and departments at the district level running ‘comprehensive’ government web sites by 2015. A budget of VND1.7 trillion (US$90 million) has been allocated for the programme, which launches in 2011.

Dr Phung Van On, Director, IT Center, Office of the Government, told FutureGov that the five-year plan to simplify administrative procedures and provide more public services online could result in annual savings of up to VND 30 trillion (US$1.5 billion).

The government is aiming for all passport applications to be processed online by 2015, as well as tender announcements, bid invitations, and bid results for state-funded projects. Half of all tax documents will be submitted online and 90 per cent of provincial customs processing will be electronic by 2015, according to projections.

The programme, referred to as Prime Ministerial Decision No 1605QD-TTg, also aims to boost cooperation between the public and private sector. One of the first focus areas in the linking of the online services of four major financial sectors – the treasury, tax offices, customs and banks.

Running in tandem is a government scheme to boost the local IT industry, which will be a key beneficiary of the PM’s decree. Vietnam’s IT industry grew by 20 per cent (to US$6.26 billion) in 2009 despite the global economic downturn, and the government is targeting three times GDP growth through to 2020.

Vietnam’s IT industry, which grew b, is being targeted as a key partner. The Prime Minister, Nguyen Tan Dung (pictured), has said that he wants the industry to contribute eight-10 per cent of the country’s GDP, up from seven per cent in 2009.

is expected to The industry managed to record a growth rate of more than 20 per cent in 2009 despite the global economic downturn, earning a total of . The hardware sector saw annual growth of 10 per cent, while the software sector has notched up growth of 50 per cent.

“The deployment of such a large programme will bring many challenges,” Dr Phung said. “To make it work, the government has proposed a comprehensive plan to ensure there is the appropriate legal framework, the right financing, human resources and implementation strategy.”
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