Decision No. 158/2001/QD-TTg Approves the Strategy for the Development of Postal and Telecommunications in Vietnam until 2010 and Orientations until 2020

DECISION OF THE PRIME MINISTER

Approve the Strategy for the Development of Postal and Telecommunications in Vietnam until 2010 and Orientations until 2020

Based on the Resolution of the Regular Meeting of the Government in August 2001, Decision No. 10/2001/NQ-CP dated August 31, 2001;

PRIME MINISTER

Based on the Government Organization Law dated September 30, 1992;

Considering the proposal of the General Post Office Administration at the report No. 369/TCBĐ-KTKH dated April 10, 2001; opinions of the Ministries: Planning and Investment (document No. 2099 BKH/CSHT dated April 9, 2001), Science, Technology and Environment (document No. 874/BKHCNMT-CN dated April 5, 2001), Culture and Information (document No. 1164/BVHTT-BC dated April 3, 2001), Public Security (document No. 453CV/BCA(V11) dated April 11, 2001), National Defense (document No. 1169/QP dated April 27, 2001), Finance (document No. 3237TC/TCDN dated April 10, 2001), Industry (document No. 1252/CV-KHĐT dated April 5, 2001) regarding the "Strategy for the Development of Postal and Telecommunications in Vietnam until 2010 and Orientations until 2020",

Approve the "Strategy for the Development of Postal and Telecommunications in Vietnam until 2010 and Orientations until 2020" with the main contents as follows:

DECISION:

Article 1. a) Postal and telecommunications in Vietnam, in conjunction with information technology and communication, must form the foundation of the national information infrastructure, becoming a leading industry, developing even more strongly, constantly updating modern technology and techniques. Development must go hand in hand with effective management and exploitation, aiming to create conditions for the application and promotion of information technology development in all fields of society, contributing to economic and social development of the country and enhancing public knowledge.

Clause 1. Views

b) Utilize all resources of the country, creating conditions for all economic sectors to participate in the development of postal services, telecommunications, and information technology in a fair and transparent competitive environment managed by the State with appropriate mechanisms. Develop rapidly, dominate and firmly establish in the domestic market, while actively expand business activities on the international market.

c) Actively integrate into the international economy, develop alongside ensuring information security and safety, contributing to firmly protecting the Socialist Republic of Vietnam.

2. Objectives of the Strategy

a) Build and develop a national information infrastructure with advanced technology comparable to the most developed countries in the region, covering the entire country with large capacity, high speed and quality, operating effectively, providing conditions for the whole society to exploit and share information on the national information highway that has been built; serving as a foundation for the application and development of information technology to serve industrialization and modernization of the country.

b) Provide the society and consumers with modern, diverse, and rich postal and telecommunications services at prices lower than or equivalent to the average level of countries in the region; meeting all information needs for economic and social purposes, security, and defense. Implement universal postal and telecommunications services, including information technology, reaching all regions and areas throughout the country with increasingly higher service quality. By 2010, the number of telephones and Internet users per 100 people should reach the regional average level.

c) Build postal and telecommunications into a leading economic and technical industry operating effectively, contributing increasingly to the national GDP growth, and creating more jobs for society.

3. Development Orientation of Various Fields

a) Development of Telecommunication and Information Infrastructure Networks

Build and develop a modern and advanced national telecommunication and information infrastructure network operating effectively, safely, and reliably, covering the entire country, including remote areas, border regions, islands. Form a national information highway with large capacity and high speed based on the convergence of telecommunication, information technology, and broadcasting services. Apply broadband access methods to end-users: optical fiber, wideband wireless, satellite information (VINASAT), etc., serving as a foundation for the application and development of information technology, e-commerce, electronic government, public services, and other fields.

By 2005, all provinces and cities nationwide will be connected by wideband optical fiber cables. By 2010, the national information highway will connect to all districts and many communes across the country through optical fiber and other broadband transmission methods; at least 30% of subscribers will have the ability to access telecommunication and Internet broadband.

b) Development of Postal Network

Develop the Vietnamese postal sector towards mechanization, automation, and informatization, aiming to achieve modern levels comparable to the most developed countries in the region. Organize postal services separately from telecommunications, operating independently and effectively, providing diverse services according to international standards.

By 2010, achieve an average service level of less than 7,000 people per postal and telecommunications service point, with an average service radius under 3 km. Achieve the target of 100% of plains communes and most mountainous communes receiving newspapers daily.

c) Development of Private Information Networks

Develop modern private information networks suitable for the development of the national public network; meeting the specific information needs of various sectors while effectively utilizing the information infrastructure of the public network that has been established.

Prioritize the development of modern private information networks serving the Party, Government, national defense, and security; ensuring service quality, confidentiality requirements, and information security.

d) Development of Services

Rapidly diversify and effectively exploit various types of services based on the national information infrastructure to provide users with high-quality, secure, and confidential postal, telecommunications, and Internet services at prices lower than or equivalent to the average level of countries in the region, serving the development of the economy and society, security, defense, industrialization, and modernization of the country.

Accelerate the popularization of postal, telecommunications, and Internet services nationwide. In addition to basic fixed services, promote the development of mobile services, Internet, e-commerce, services supporting electronic government, public services, community services, and other value-added services.

Accelerate the pace of widespread provision of postal, telecommunications, and Internet services nationwide. In addition to basic fixed services, intensify the development of mobile services, Internet, e-commerce, government electronic services, public services, community services, and other value-added services.

In 2010, the average telephone density reached 15 to 18 units per 100 people; the average number of households with telephones was over 60%; in urban areas, it was 100% of households having telephones; widely providing Internet services to research institutes, universities, secondary schools, and hospitals throughout the country.

d) Market Development

Fully utilizing all domestic resources combined with effective international cooperation to expand and develop the market. Continuing to eliminate monopolistic sectors for businesses, transitioning to competitive markets, creating conditions for all economic sectors to participate in postal, telecommunications, and Internet service activities while maintaining the leading role of state-owned enterprises. New businesses (outside the leading enterprises) will account for approximately 25-30% by 2005 and 40-50% by 2010 in the Vietnamese postal and telecommunications market and Internet market share.

Actively tapping into the domestic market while expanding operations on the international market. Proactively integrating into the international economy according to the multilateral and bilateral commitments already made.

e) Scientific and Technological Development

Updating modern and advanced technology in building national information infrastructure. The selected technologies must be forward-looking, compatible, and suitable for technological convergence trends.

Vigorously promoting research and application of scientific and technological achievements in all fields: equipment, network, services, industry, management, human resources... Taking the lead in technology imports, gradually increasing the creation of products with Vietnamese technology.

g) Development of Postal, Telecommunications, and Information Technology Industry

Encouraging both domestic and foreign economic sectors to participate in developing the postal, telecommunications, and information technology industry; including forms of foreign investment involving high-tech transfers, even up to 100% foreign capital.

Strengthening the absorption and transfer of modern technology; gradually taking control of both hardware and software technology, producing products of international quality. Enhancing domestic production capacity for equipment, reaching 60% in 2005 and 80% in 2010 of the demand for postal, telecommunications, and information technology equipment in Vietnam. Accelerating the process of increasing the value-added content of Vietnamese labor in products: reaching 30-40% in 2005 and 60-70% in 2010. Strengthening cooperation and exchanges, participating in international division of labor markets, implementing specialized production of certain products in Vietnam; vigorously promoting exports abroad.

Prioritizing the mobilization of capital and investment in human resources for the development of the software industry. By 2010, striving for software sales to reach more than 30% of the total sales of the postal, telecommunications, and information technology industries. Increasing the proportion of software in products; gradually penetrating regional and international markets through division of labor and specialized production.

h) Human Resource Development

Training and developing skilled and virtuous human resources with expertise, mastering modern technology and techniques; being proficient in economic management.

By 2010, achieving productivity and quality standards for labor serving postal and telecommunications in Vietnam equivalent to those of advanced countries in the region.

4. Main Solutions

a) Continuously reforming policies to mobilize domestic resources and attract foreign resources

Speeding up the construction and promulgation of Ordinances, Laws on Postal Services - Telecommunications along with other regulatory documents to create conditions for postal and telecommunications services to transition to competitive markets; proactively implementing the roadmap for opening up and integrating into the international economy.

Quickly formulating and issuing specific policies and measures to promote competition, creating conditions for all economic sectors to participate in developing postal, telecommunications, and Internet services. Permitting domestic enterprises meeting the necessary conditions to participate in the market for basic service provision, value-added services, and domestic and international IT application services. Expanding competitive markets based on leveraging the leading role of state-owned enterprises. Establishing policies to ensure that market mechanisms operate effectively; policies regulating business, public welfare, and universal service. Promptly formulating and announcing the roadmap for opening up the postal, telecommunications, and Internet markets according to specific timeframes for each service.

Reforming pricing policies to ensure a genuine competitive environment, motivating enterprises to improve production and business efficiency, reduce product and service costs. By 2001-2002, most postal, telecommunications, and Internet tariffs in Vietnam were lower or comparable to the regional average.

Implementing appropriate policies and measures to utilize and mobilize resources from various sectors and localities to participate in developing the national information infrastructure; enhancing community service capabilities; increasing access to services for citizens in society.

Managing national resources such as radio frequency bands, numbering systems, domain names, addresses, and trademarks effectively to ensure equality for businesses operating in these areas.

b) Reforming organizational structures, strengthening and improving the effectiveness of the state administrative apparatus and macro-management tools and policies

Building and perfecting a unified state administrative apparatus for postal services, telecommunications, and information technology consistent with technological convergence trends; management capabilities must keep pace with development speed. Promoting administrative reforms, implementing effective state management in an open competitive environment.

Managing according to the law, reducing administrative measures, strengthening inspection measures, not deeply intervening in business operations. Emphasizing guidance and forecasting; linking planning with the mechanism policy system and the market; ensuring healthy and equal development. Protecting the rights of the State, consumers, and businesses.

Establishing necessary foundations for postal, telecommunications, and information technology during Vietnam's participation in AFTA, APEC, implementation of the Vietnam-U.S. Trade Agreement, and joining the WTO.

c) Continuously reforming the organization and management of production and business operations of enterprises

Reform enterprises with the goal of "productivity, quality, and efficiency"; enhance the competitive capacity of enterprises operating in the postal, telecommunications, and information technology sectors. Promote the leading role of state-owned economy, form strong postal, telecommunications, and information technology groups; create a position and strength for international integration and competition to achieve success.

Accelerate the restructuring of enterprises operating in the postal, telecommunications sector based on defining types: state-owned enterprises holding 100% capital; state-owned enterprises holding controlling or special shares; enterprises belonging to all economic and social components. Gradually abolish cross-subsidies, implement independent accounting, clearly define public service tasks and business operations. Implement shareholding reform for postal, telecommunications, and information technology enterprises according to a specific roadmap.

Strengthen the process of adjusting investment structure, gradually separate postal services from telecommunications to operate independently.

d) Mobilize and effectively utilize various sources of capital

During the period of 2001-2020, mobilize approximately 160-180 trillion VND (equivalent to 11-12 billion USD) for investment in developing postal, telecommunications, and information technology. Of which, during the period of 2001-2010, mobilize approximately 60-80 trillion VND (4-6 billion USD). Domestic capital is expected to account for about 60%, foreign capital 40% of total investment.

The State has preferential policies regarding postal and telecommunications for enterprises operating in these fields; has policies to regulate network development in rural, mountainous, remote, and far-flung areas. Enterprises self-mobilize various sources of capital for network development and service provision, while having the obligation to provide universal services and public services as required by the State.

Regarding domestic capital: Strengthen enterprise reform, adjust production and investment structures, create conditions for enterprises to operate effectively to quickly increase internal accumulation capabilities, reinvest for development. Enhance attraction of domestic private sector investment; adopt appropriate measures to encourage industries and localities to participate in developing postal, telecommunications, and information technology; establish a universal service fund to serve the provision of universal postal, telecommunications, and Internet services, especially in rural, remote, and far-flung areas.

Regarding foreign capital: Strive to fully exploit foreign capital sources; encourage forms of direct foreign investment, particularly in postal, telecommunications, and information technology industries, service business operations, with suitable investment forms corresponding to the roadmap for opening up and integrating into the international economy. Allocate a portion of ODA funds for developing postal, telecommunications, and information technology in rural, remote, and far-flung areas.

đ) Strengthen international cooperation to serve development

Continue to actively participate in all aspects of activities of international organizations to gather, supplement knowledge, experience, and make substantial contributions; enhance Vietnam's status, reputation, and interests on the international stage.

Actively follow the roadmap for opening up and integrating into the international economy. Diversify cooperative activities with foreign countries to take advantage of external resources (investment capital, technology, training...), and foster competition in postal, telecommunications, and Internet services. Create every condition for domestic enterprises to firmly establish themselves in the domestic market and expand their business internationally and regionally.

e) Strengthen human resource development

Train and retrain existing staff. Anticipatory training suitable for development goals; diversify training formats and enhancement programs. Modernize specialized training centers; upgrade infrastructure and equipment; update curricula; keep abreast of new knowledge. Continue building the Post and Telecommunications Technology Academy in a positive direction to participate in training human resources for postal, telecommunications, and information technology; strengthen international cooperation in training human resources.

Develop appropriate training policies to have a team of excellent experts in economics and technology; a management team skilled in international competition; particularly focus on software teams for telecommunications and information technology.

Implement reasonable incentive policies to attract talent and intellectual resources both domestically and internationally to contribute to the development of postal, telecommunications, and information technology.

Article 2. Organization and implementation

1. The General Department of Posts and Telecommunications shall take the lead and coordinate with relevant ministries, sectors, provincial and municipal people's committees under the central government to organize and implement the "Strategy for the Development of Postal Services and Telecommunications in Vietnam until 2010 and orientations until 2020."

2. Based on the objectives and development directions of this Strategy, the General Department of Posts and Telecommunications shall develop and implement comprehensive planning for postal services, telecommunications, and Internet development until 2010, five-year development plans, and annual plans consistent with national socio-economic development plans; guide, inspect, and supervise the implementation of the Strategy; propose necessary solutions, submit them to the Prime Minister for decision-making, and create conditions for effective implementation of the Strategy; conduct mid-term reviews every five years and final evaluations at the end of the period.

3. Ministries, sectors, provincial and municipal people's committees under the central government shall be responsible for coordinating with the General Department of Posts and Telecommunications to fulfill the tasks and objectives of the Strategy within their functions, duties, and authorities; ensuring consistency and synchronization with the implementation of socio-economic development plans of their respective sectors and localities.

Article 3. This Decision takes effect fifteen days after its date of issuance.

Article 4. Ministers, The Ministers, Heads of ministerial-level agencies, Heads of governmental agencies, and Chairpersons of provincial and municipal people's committees under the central government are responsible for implementing this Decision./.