Vietnam

Tăng cường phân cấp, phân quyền trong thúc đẩy phát triển kinh tế tư nhân

Bao Dien Tu | Local Language | News | Jan. 23, 2026 | UndeterminedInitiative

At the 14th National Congress of the Party on January 21, Secretary of the Saigon Ward Party Committee Nguyen Tan Phat outlined a strategy for leading rapid and sustainable private economic development in Saigon Ward, a central urban area in Ho Chi Minh City with significant historical and economic importance. Saigon Ward is a hub for international finance, commerce, and high-end services, featuring a modern urban economy that includes digital, sharing, night-time, financial, and 24/7 service economies. The Ward operates under a two-tier local government system which enables closer engagement with organizations, enterprises, and residents.

The Ward Party Committee has developed a developmental program for high-end trade, services, finance, and international tourism for 2025-2030, aligned with the Politburo Resolution No. 68-NQ/TW and recent amendments supporting special mechanisms and policies for Ho Chi Minh City. Key economic measures include enhancing quality and service in supermarkets, shopping centers, and retail stores, building free trade commercial centers for diverse high-end products, and attracting financial experts and strategic investors to the International Financial Center. Administrative reforms are focused on simplifying procedures, streamlining the apparatus, and accelerating digital transformation to facilitate rapid access to public services.

Economic statistics indicate significant growth in Saigon Ward’s private economy, with 14,283 enterprises and business households as of early 2026, an increase of 966 units since mid-2025. Local budget revenue substantially exceeded the 2025 targets, with state budget revenue reaching 186.67% of the assigned estimate. The 2026 budget sets a target of 10,453 billion VND, with the private economy expected to contribute over 64% of this revenue, underscoring its importance as a dynamic driving force behind local development.

Private sector participation in socio-economic projects and facility development in Saigon Ward has increased, reflecting strong confidence from entrepreneurs and enterprises in the political and socio-economic environment. Nguyen Tan Phat emphasized promoting the Party’s adaptive leadership, encouraging Vietnamese entrepreneurs, and the State’s need to innovate alongside fast-changing market conditions. Harmonizing interests among the State, businesses, and people is essential for sustainable private economic development.

The effectiveness of the market economy relies on competition, innovation, creativity, and adaptability, with decentralization and delegation in economic management identified as critical to promoting private sector growth. Policies around corporate income tax and procedure fees must align with city and national development goals. Saigon Ward, newly established in July 2025 with a population of 47,022 and a strong Party organization, aims to become a dynamic economic and financial center, contributing to Ho Chi Minh City's vision as an international mega-city and Asian destination.

Vietnam Net - E | English | News | Jan. 23, 2026 | UndeterminedEconomic Growth

Vietnam’s economy is entering a new phase described as “decompression,” characterized by the release of accumulated energy hindered by long-standing bottlenecks in development. This phase is about freeing the economy from excessive constraints to foster experimentation, creativity, and natural growth. The State must also be “decompressed” by removing bureaucratic barriers and restoring public trust to enable businesses to thrive. This requires fundamental changes in administrative operations rather than minor procedural adjustments.

A significant challenge identified is the undervaluation of the domestic sector compared to foreign-invested enterprises (FDIs), which benefit from structural advantages like lower financing costs and a more stable business environment. Equalizing conditions for domestic firms, especially by reducing interest rates and administrative burdens, is crucial for their growth and competitiveness. The government aims to create a fairer business environment supporting both domestic and foreign enterprises, moving towards a national investment strategy emphasizing large-scale projects and mobilizing mostly private capital to drive sustained economic growth.

Key growth opportunities include unblocking stalled projects and eliminating procedural inefficiencies to prevent new bottlenecks from arising. Comprehensive transport infrastructure development is also prioritized to reduce logistics costs, which currently represent 17-18% of GDP. However, capital injection must be accompanied by improved supporting conditions, such as better regulatory frameworks and governance, to avoid ineffective investments.

Empowering local authorities and businesses with innovation incentives is important but must be paired with protection mechanisms to ensure those who take risks are supported and not penalized. Addressing high interest rates remains critical; lowering and stabilizing rates over the long term will allow domestic businesses to compete more effectively. Proposed solutions include state-backed subsidies on lending rates with conditional enforcement for broad application and gradual phasing out aligned with economic strength, requiring strong political will and new mechanisms.

Structural bottlenecks to medium-term growth include the treatment of land, capital access, and human resources. Land policy must shift from treating land as a territorial asset to a market resource with properly defined property rights to avoid speculative distortions. Capital markets need to better support productive private investment rather than speculative activity. Human capital development calls for radical education reform, moving towards fostering creativity, independent thinking, and the integration of human and artificial intelligence to enhance innovation and competitiveness in the global economy.

Overall, Vietnam’s economic reform phase focuses on unlocking growth potential through systemic decompression, equalizing business conditions, strategic investments, infrastructure improvements, and education transformation to secure sustainable development in the coming years.

Xây dựng mức thu phí sử dụng đường bộ với 18 tuyến cao tốc

Bao Dien Tu | Local Language | News | Jan. 23, 2026 | Regulation

The Vietnam Road Administration has tasked the Road Management Regions (RMR) I, II, III, and IV with managing the collection of road-use fees for 18 expressways owned and operated by the State. These RMRs are required to comply with State Budget Law and the Law on Fees and Charges, setting up accounts at the State Treasury to handle fee collection and expenditures. They must also work with contractors managing toll stations and vehicle load control to establish procedures for issuing fee receipts in line with legal regulations.

The administration instructed the RMRs to set road-use fee rates based on Decree No. 130/2024 and the actual lengths of the expressway sections. The Plan for exploitation of these infrastructure assets has been approved by the Ministry of Construction. Thirteen state-invested expressway projects will be tolled for seven years from their operation commencement date, with an estimated revenue of nearly VND 2,500 billion annually after costs.

Additionally, the Ministry of Construction has approved toll exploitation plans for five North-South expressway projects financed by the state budget. The Vietnam Road Administration previously proposed two fee rates: 1,300 dong/km for expressways fully meeting tolling standards (4 lanes with continuous emergency lanes) and 900 dong/km for expressways lacking continuous emergency lanes.