Vietnam greenlights digital infrastructure plan

Targets include widespread 5G coverage.

Vietnam has approved the country's digital infrastructure strategy, targets of which include expanding the coverage of 5G mobile broadband networks to 99% of the population by 2030.

According to the Vietnamese government's official information channel, the goal is to provide 5G coverage access to the likes of industrial and high-tech parks, research centres, train stations, as well as airports and seaports.

All households, meanwhile, should be able to access fibre optic cable services.

"Growing demand for higher-speed broadband connectivity and the expansion of fibre-optic network infrastructure by the government across the country will support fibre broadband subscriptions' growth," data and analytics firm GlobalData previously noted.

The nationwide plan will also focus on building hyperscale data centres and digital hubs as part of Vietnam's digital transformation.

In line with the strategy, the private sector is being encouraged to invest in telecommunications or digital infrastructure. This includes investments in international undersea cable routes and the abovementioned data centres.

Law firm Hogan Lovells commented: "The issuance of Decision 2161 signals a clear strategic shift towards fostering private sector investment in Vietnam's national data centre infrastructure."

It went on to highlight that foreign investors can establish wholly-owned subsidiaries in Vietnam to offer data centre services since there is currently no cap on foreign ownership in such companies.