Innovation and impact investing will help Vietnam ensure balanced socio-economic development, as well as sustainable development, heard a workshop in Hanoi on April 20.

The event was jointly held by the Vietnam National Innovation Centre (NIC) under the Ministry of Planning and Investment, and Japan’s Mitsubishi Research Institute (MRI), aiming to spur Vietnam’s economic growth in combination with solutions to social and environmental issues. The idea is to accomplish growth through innovation, and linkages between investment funds and financial organisations, and innovative firms and startups.

Impact investing refers to investment strategy that aims to generate specific beneficial social or environmental effects in addition to financial gains.

NIC Director Vu Quoc Huy noted that addressing social and environmental issues, along with economic growth, is important for Vietnam to transform into a developed nation by 2045.

MRI Deputy General Director Hidemoto Mizuhara called for cooperation between Vietnamese and Japanese enterprises, as well as between impact startups and governments to handle social issues and achieve growth targets.

Innovative startups have emerged as promising entities in the utilisation of innovative business methods and models to tackle problems, he continued, pointing out that impact enterprises in Vietnam are facing various challenges and not able to speed up to fully tap their potential.

He also highlighted the importance of collaboration between Vietnam and Japan, which has experience in tacking socio-economic issues, to the formation and development of innovative enterprises and impact startups.

Through the workshop, the sides expected to establish a network of impact firms of the two countries, which will share information and experience with the support and consultation of Japanese investors.

The event was seen as the premise for the extensive cooperation between the MRI and the NIC. Working together, they plan to help innovative businesses and startups access international resources, and further draw the interest of the Japanese Government and investors in impact investing and innovation in Vietnam.

The partnership was also formed part of activities towards the 50th founding anniversary of diplomatic relations between Vietnam and Japan.

VNA