Singapore and Vietnam have strengthened their economic partnership by signing new agreements in various areas of cooperation, such as green economy and innovation. The two countries have expanded their focus beyond traditional economic sectors and are now working towards sustainable infrastructure, skills development, and the exchange of innovation talent.
The two partners exchanged side letters to mark the expansion of their existing understanding, the Singapore-Vietnam Connectivity Framework Agreement, which was first established in 2005. They also signed three new memorandums of understanding in the areas of green economy, innovation, and skills development.
The innovation MOU will focus on promoting collaboration in advanced manufacturing, specifically involving small and medium-sized enterprises and start-ups from both countries.
Relevant: Singapore And Vietnam Sign Key MoU To Advance Energy And Carbon Credits
The second MOU will enhance collaboration in skills development and labor. It will facilitate knowledge sharing and the adoption of best practices in areas such as technology-enabled online training, the integration of green and sustainable skills into training programs, and ensuring occupational safety and health.
A third memorandum of understanding will work to enhance collaboration in sustainable urban development and infrastructure projects.
Vietnam and Singapore have also strengthened their cooperation in the green economy by signing a letter of intent and concluding negotiations on a legally binding implementation agreement. The agreement focuses on the trading of carbon credits in compliance with Article 6 of the Paris Agreement.
Once the implementation agreement is signed, Singaporean companies that are liable for carbon tax will be able to purchase eligible carbon credits from authorized projects in Vietnam.
Both countries recognize the importance of developing a green economy and promoting innovation, and these initiatives will contribute to the growth and sustainability of their respective economies. The partnerships between Singapore and Vietnam in these areas will not only benefit the two countries but also have a positive impact on the regional and global economies.
Read more: Vietnam Working On Developing Domestic Carbon Market
