According to him, these form the institutional triangle for Vietnam’s transition to a digital economy rooted in indigenous data and technology.
JOURNALIST: - In 2024, the National Assembly adopted the Data Law, followed by the recent approval of the Law on Digital Technology Industry and the Law on Personal Data Protection. From your perspective, what is the significance of this legislative push for Vietnam’s digital transformation?
Prof. TRẦN THỌ ĐẠT: - The enactment of these three laws in close succession is not merely a legal development—it’s a strategic milestone and a strong political statement. It signals the government’s serious commitment to institutionalizing the digital transformation process and fostering a robust digital economy grounded in domestic data and technological capacity.
Together, these laws create a cohesive framework—an institutional triangle—supporting the growth of both the digital economy and society. They establish the legal foundation for implementing the National Digital Transformation Strategy, where data is treated as a strategic resource, technology serves as a driving force, and people are placed at the center of digital progress.
- Could you elaborate on the specific roles and implications of each of these legal pillars?
- Certainly. The Law on Digital Technology Industry is the first of its kind to formally recognize the digital technology sector as a key economic pillar. It sets out a legal framework for nurturing domestic digital enterprises, facilitating their development through preferential policies related to taxation, land use, and investment. It also encourages innovation and promotes the creation of “Make in Vietnam” digital products, firmly positioning the tech industry as a core driver of digital transformation.
The Law on Personal Data Protection represents a breakthrough in regulatory thinking. For the first time, it enshrines the rights of individuals over their data and mandates clear responsibilities for organizations that process, store, or transfer personal information. This law aligns Vietnam with international data governance standards, enhancing trust in digital services and enabling integration into global digital ecosystems. It also lays the groundwork for a personal data economy—where data can serve as an asset, a means of establishing digital identity, or even a basis for social credit. Simultaneously, it compels businesses to improve data transparency and invest in cybersecurity, enhancing their global competitiveness.
The Data Law, meanwhile, sets the institutional basis for a data-driven economy. It codifies how data should be collected, classified, shared, and managed across all sectors—political, economic, and social. It defines different types of data (such as open data, personal data, and big data) and clarifies the rights and obligations of stakeholders in the data ecosystem. This law facilitates cross-sectoral and inter-agency data sharing, reduces data monopolies in the public sector, and supports the rollout of digital government services and smart city initiatives.
- What would you say are the transformative breakthroughs of these three laws?
- Their most important breakthrough lies in the legal recognition of data as an asset. For the first time, Vietnam will legally “assetize” data—acknowledging that data can be owned, valued, and traded like any other economic resource. This changes the paradigm: data is no longer a byproduct of digital activity, but a strategic asset that can drive innovation, productivity, and sustainable development.
The laws also help localize the value creation process in technology. By turning technology into a domestic productive force, they create jobs and economic value within Vietnam. At the same time, they promote digital trust as a form of social capital, encouraging broader participation in the digital economy.
Crucially, these laws support and protect Vietnamese technology enterprises in an increasingly competitive global market. They offer a legal framework for the formation of data markets, data centers, and digital exchanges, thereby enhancing linkages between government, businesses, and research institutions. Vietnam can now aim to build a sovereign and globally competitive digital economy with a distinct national identity.
- You mentioned data markets—can you elaborate on how this legal framework will enable the commercialization of data?
- Certainly. The Data Law introduces a comprehensive classification system for data, while simultaneously establishing ownership rights and defining the economic value of data. These provisions are essential for building functional data markets, where data can be exchanged transparently and fairly.
Enterprises will now be able to legally use data as input for production, as a traded asset, or as a resource to generate value-added services. Institutions can create data-sharing platforms, government agencies can interlink information systems, and research centers can access data more readily. In turn, this increased connectivity fosters innovation, efficiency, and accountability across both the public and private sectors.
- There’s always a tension between innovation and privacy. How do these laws strike a balance between data exploitation and personal privacy protection?
- That’s a vital question. The Law on Personal Data Protection introduces, for the first time in Vietnam, a legal structure that clearly defines individual data rights. Citizens now have enforceable rights over how their personal information is collected, used, and shared.
At the same time, businesses and organizations are now legally obligated to implement safeguards, obtain proper consent, and ensure transparency in their data practices. This is essential for building digital trust, which is the cornerstone of a healthy data economy.
Importantly, a trusted digital environment encourages people to engage more freely in online activities—sharing data, using digital services, and contributing to new business models. It also helps Vietnamese enterprises comply with international norms, reduce the risk of data breaches, and better connect with global markets.
- How do you see these legal reforms impacting Vietnam’s overall digital trajectory?
- These laws represent a fundamental shift. They are not merely regulatory in nature; they reshape the strategic vision for Vietnam’s digital future. The institutional triangle they form gives Vietnam the legal tools to take charge of its digital sovereignty, drive innovation from within, and build a competitive and secure digital economy.
In the past, digital data and technologies were often treated as imported tools or passive elements in development strategies. Now, they are central to Vietnam’s identity and agency in the global digital space.
- Thank you very much, Professor.
