The significant breakthroughs of Resolution 57

First and foremost, it is necessary to emphasize that the development of science and technology has always been a top priority for the Party and the State throughout the reform period. Typical examples include Resolution No. 02-NQ/HNTW dated December 24, 1996, of the 2nd Plenum of the 8th Central Committee; Resolution No. 20-NQ/TW dated November 1, 2012, of the 6th Plenum of the 11th Central Committee; Resolution No. 52-NQ/TW dated September 27, 2019, of the Politburo of the 13th Party Congress; and Conclusion No. 69-KL/TW dated January 11, 2024, of the Politburo of the 13th Party Congress. Besides affirming that science and technology "is a top national priority," these resolutions have outlined numerous solutions to promote the development of science and technology. The 2013 Law on Science and Technology institutionalized Resolution 20, creating a legal framework for the development of science and technology with many new mechanisms and policies consistent with the market economy and international practices… However, after many years of implementation, these policies and guidelines have been slow to be institutionalized and have not yet had the effect of promoting the innovation process.

In reality, recent times have shown that the mechanisms for implementing the Party's resolutions have not been truly effective, and the management system's thinking has been slow to innovate, leading to solutions being rendered ineffective or not implemented thoroughly. Therefore, it can be said that, to date, Vietnamese science and technology have not truly strongly promoted rapid and sustainable economic development, and have not lived up to expectations as a "foundation, driving force" and "top national priority."

5 breakthroughs of Resolution 57

Now, in the context of the digital transformation revolution, for the first time in Resolution 57-NQ/TW dated December 22, 2024, of the Politburo, science and technology, along with innovation and digital transformation, are placed in the position of "a top priority breakthrough" with important, specific goals and unprecedentedly decisive solutions.

The first breakthrough pointThat means our Party has set specific, high-level goals for 2030 and 2045 so that Vietnam can become a developed, high-income country.

Accordingly, by 2030, Vietnam aims to be among the top 3 countries in Southeast Asia and the top 50 countries in the world in terms of digital competitiveness and e-government development index; among the top 3 countries in Southeast Asia in artificial intelligence research and development; and a center for the development of several digital technology industries and sectors in which Vietnam has advantages. By 2045, Vietnam aims to have a digital economy of at least 50%, and be among the top 30 countries in the world in innovation and digital transformation… These are very challenging goals, and achieving them requires tremendous effort.

Second breakthrough pointResolution 57 stipulates that investment in science, technology, innovation, and digital transformation must be increased.

Specifically, by 2030, spending on research and development (R&D) will reach 2% of GDP, with social investment accounting for more than 60%; at least 3% of the total annual budget expenditure will be allocated to the development of science, technology, innovation, and national digital transformation, gradually increasing according to development requirements.

This is a rather challenging goal if we look back at the investment situation over the past years, with state budget spending on science and technology gradually decreasing and often below 1% of total state budget spending, never reaching the level stipulated in Resolution 20 and the 2013 Law on Science and Technology.

Social investment primarily comes from businesses, driven by their own need for technological innovation and the creation of new, competitive products in the market.

Although the Law on Science and Technology and the Law on Corporate Income Tax stipulate that businesses can allocate up to 10% of their taxable income to R&D through their science and technology development fund, with state-owned enterprises required to allocate at least 3% of their taxable income, most businesses have not complied with this regulation due to inadequacies in the management mechanism.

The increased investment under Resolution 57 will bring Vietnam closer to the investment levels of developed countries, thereby creating momentum for the Vietnamese scientific community and enhancing the national scientific and technological potential. However, achieving such high investment levels requires regulations and support measures for businesses, and even the removal of the 10% income tax cap and a more flexible mechanism for managing business funds, as most Vietnamese businesses are small and micro-enterprises that need significant financial resources for digital transformation and technological innovation.

Third breakthrough pointResolution 57 represents a breakthrough in thinking regarding the management of state budget investment in R&D activities.

Accordingly, the budget for research and development in science and technology will be prioritized to be implemented through a fund mechanism, via science and technology development funds.

This mindset was mentioned in Resolution 20-NQ/TW of 2012, but for more than 10 years we have almost failed to implement it, because financial management has maintained the old way of thinking, not paying attention to the specific characteristics of the science and technology sector, and not investing in it like the basic construction sector.

For example, current regulations stipulate that budgets are only allocated to tasks that have been previously approved by competent authorities and are included in the list of tasks in the previous year's state budget. Therefore, scientists have to wait for years to receive funding for tasks that have been proposed and approved.

This time, Resolution 57 has stipulated very specifically, and with decisive direction, it will certainly bring about change. Because the fund mechanism is an international practice, meaning that state budget funding for science and technology tasks (research topics, projects, programs, etc.) will be directly allocated to science and technology development funds according to the charter capital and the ability to allocate annual budget resources.

Funding from these funds will be disbursed promptly according to the approved project schedule, automatically transferred, and settled in a single payment upon completion of the research contract. This approach addresses the timeliness of research activities, facilitates the work of scientists, and aligns with international practices.

The next breakthrough pointResolution 57 defines "accepting risks, venture capital, and time lags in scientific research, technological development, and innovation."

For a long time, government agencies and public opinion have held the view that state-funded research projects must be 100% successful, and failure is considered wasteful and a loss of state budget.

But in reality, research is about discovering something new, so there's always the potential for failure. Even in developed countries, the percentage of successful research projects that are applied in practice is only about 20-30%. That's also why developed countries have venture capital funding systems and a culture of accepting failure in research, which is why they have unicorn companies and technology corporations with many high-tech products.

With this innovative approach in Resolution 57, scientists will certainly be encouraged to think outside the box, take initiative, and accept challenging tasks when accessing state budget funds for science, technology, and innovation. They can rest assured that if they fail, they will be exempt from liability and will gain valuable experience to help them avoid similar failures in future endeavors.

The final breakthrough pointThis refers to the feasibility of implementing the Resolution.

For the first time, the head of our Party directly serves as the head of the Steering Committee for the implementation of the Resolution, and alongside the Steering Committee is an advisory council comprising highly qualified and reputable managers and scientists. This approach overcomes the shortcomings of previous periods, when Steering Committees often only included representatives from state management agencies, lacking sufficient power within the political system and heavily influenced by short-term thinking.

To put the Party's Resolution into practice requires the synchronized involvement of the entire political system, not just the executive branch; a change in mindset across the entire administrative apparatus from the central to local levels; the establishment of a comprehensive, scientifically sound, and practical legal framework for groundbreaking new regulations; the support of all segments of the population and businesses; and compliance with international practices.

This is a long and complex process that requires consistent and decisive leadership from the nation's top leaders, not limited to a few terms, and must bring together the wisdom of the elite both domestically and internationally.

For scientists to truly be the key players.

It is also worth mentioning a point in Resolution 57 which identifies "scientists as the key factor," along with solutions to attract, utilize, and retain leading scientists, experts, and "chief engineers" both domestically and internationally. Especially in the context of implementing many large and important projects, such as the North-South high-speed railway, the restart of the nuclear power project, and semiconductor microchip projects, without leading scientists to form strong scientific teams, we certainly cannot succeed.

This is not a new issue; for many years we have recognized the role of scientists in socio-economic development. Resolution 20 also stipulated that "there should be a policy of special consideration for leading science and technology personnel, science and technology personnel assigned to lead important national tasks, and talented young science and technology personnel." However, in reality, we have achieved almost nothing, due to the biggest obstacle being the regulations of many different laws.

For scientists to truly be key players, there needs to be mechanisms and policies that better and more feasiblely value and reward them. Resolution 57 has outlined many important solutions; to implement them, the Steering Committee needs to pay attention to not only the salary and income system but, more importantly, to creating working conditions and a creative environment. This means trusting and assigning tasks to scientists, investing in the best facilities, facilitating international cooperation, giving them the highest level of autonomy in finance, organization, and personnel, including the right to establish and operate science and technology enterprises based on research results, helping to form strong teams in research and technology application.

To achieve this, we must review and amend a series of related laws, such as the Law on Science and Technology, the Law on State Budget, the Law on Management and Use of Public Assets, the Law on Public Officials, and tax laws, in order to create truly groundbreaking policies and mechanisms that facilitate the work of scientists.

Many people say that the goals set in Resolution 57 are quite high and challenging, but still feasible because we have had over 10 years of implementing Resolution 20-NQ/TW in 2012 and the Law on Science and Technology in 2013, and over 5 years of implementing Resolution 52 and the National Digital Transformation Program according to Decision 749/QD-TTg. This means we have had a favorable starting point, providing a foundation both in theory and practice, and the innovative thinking in science and technology management has been somewhat prepared and met.

In particular, the experiences gained from organizing and implementing Resolution 20 and Resolution 52 have helped to identify the reasons for the lack of success and pinpoint solutions to overcome weaknesses in leadership and management.

Some targets are gradually approaching our goals, such as the Total Factor Productivity (TFP) index, which has now reached over 35%; the Global Innovation Index (GII) for 2024, which is expected to rank 44th out of 138 countries and 2nd out of 33 lower-middle-income countries; and the digital economy's share of GDP reaching nearly 18%. This is an important basis for us to believe that Resolution 57 on breakthroughs in science, technology, innovation, and digital transformation will be successfully implemented!

(Former Minister of Science and Technology)(Chairman of the Vietnam Automation Association)