Resolution No. 198/2025/QH15 dated May 17, 2025 on special mechanisms and policies for the private sector development

NATIONAL ASSEMBLY OF VIETNAM --------	SOCIALIST REPUBLIC OF VIETNAM Independence - Freedom – Happiness ---------------
Resolution No. 198/2025/QH15	Hanoi, May 17, 2025

RESOLUTION

on special mechanisms and policies for the private sector development

THE NATIONAL ASSEMBLY

Pursuant to Constitution of the Socialist Republic of Vietnam;

Pursuant to the Law on Organization of the National Assembly No. 57/2014/QH13 amended by Law No. 65/2020/QH14 and Law No. 62/2025/QH15;

Pursuant to Law on Promulgation of Legislative Documents No. 64/2025/QH15;

HEREBY RESOLVES:

Chapter I

GENERAL PROVISIONS

Article 1. Governing scope

This Resolution provides regulations on special mechanisms and policies for the private sector development.

Article 2. Regulated entities

This Resolution applies to enterprises, household businesses, individual businesses and other relevant organizations and individuals.

Article 3. Definitions

1. “Startup" refers to an enterprise that is established to demonstrate ideas based on the operation of intellectual property, technology, new business models, and has the potential for rapid growth.

2. “household business” is established by an individual or household members whose liability for its operation is equal to their total assets.

3. “individual business” refers to an individual who engages in business operations for which liability is equal to their total assets.

Chapter II

BUSINESS ENVIRONMENT IMPROVEMENT

Article 4. Principles of inspection, examination, licensing, certification, competition, and access to resources for enterprises, household businesses, and individual businesses

1. The number of inspections for each enterprise, household business, or individual business (if any) shall not exceed once per year, unless there are clear signs of violations.

2. The number of examinations at each enterprise, household business, or individual business (if any), including inter-sector inspections, shall not exceed once per year, unless there are clear signs of violations.

3. For the same content of state management, if an inspection has already been conducted, then an examination shall not be carried out, or if an examination has been conducted, then an inspection shall not be carried out within the same year, except in cases where there are clear signs of violations.

4. Plans and conclusions of inspection and examination of enterprises, household businesses and individual businesses shall be public in accordance with laws.

5. Acts of abuse and exploitation of inspections and examinations to harass and create difficulties for enterprises, household businesses and individual businesses shall be strictly handled.

6. Digital transformation shall be enhanced during the processes of inspection and examination of enterprises, household businesses, and individual businesses. Remote inspections and examinations conducted based on electronic data shall be given priority; on-site inspections and examinations shall be reduced.

7. Enterprises, household businesses and individual businesses shall not be subject to on-site inspections if they fully comply with the provisions of law.

8. The legal system shall be completed and barriers to market access shall be removed, ensuring the transparency, transparency, consistency, long-term stability, ease of compliance, and low costs for the business environment.

9. Markedly shifting from ex ante inspection to ex post inspection associated with enhancing the effectiveness and efficiency of examination and supervision shall be produced. Transferring the management of business conditions from licensing and certification to announcement of business conditions and ex post inspection, except for a few areas that are required to undergo licensing procedures according to international practices and regulations.

10. No discrimination shall be made between entities of different economic sectors in the mobilization, allocation, and utilization of resources, including capital, land, natural resources, assets, technology, human resources, data, and other resource assets.

11. The provisions of law shall be strictly enforced against actions that restrict competition, engage in unfair competition, abuse a dominant position, and abuse a monopoly position.

12. Media and press agencies, organizations and individuals are prohibited from engaging in harassment, misconduct, or providing misleading or inaccurate information that affects enterprises, entrepreneurs, household businesses, and individual businesses.

Article 5. Principles for handling violations and resolving cases in business operations

1. Clearly delineating the responsibilities of legal entities from the responsibilities of individuals in handling violations; between criminal liability and administrative liability, civil liability; and between administrative liability and civil liability.

2. In cases of civil and economic violations and cases, priority should be given to the application of civil, economic, and administrative measures. Enterprises, household businesses, and individual businesses are encouraged to proactively rectify any violations and damages. Do not initiate criminal prosecution if it can be avoided.

3. For the offences that are liable to criminal prosecution, proactive, timely, and comprehensive measures for economic restitution shall be prioritized and will serve as a key basis for the prosecuting authorities to consider when deciding the initiation of proceedings, investigation, prosecution, trial, and subsequent handling measures.

4. The provisions of law shall not be retroactive to address disadvantages for enterprises, household businesses and individual businesses.

5. In cases where the information, documents, and evidence are not sufficiently clear to conclude that there has been a violation of the law, it is necessary to reach a conclusion in accordance with procedural laws and to publicly announce this conclusion.

6. Following the principle of presumption of innocence during the investigation, prosecution and adjudication of cases.

7. Ensuring that the sealing, distraint, temporary seizure, or freezing of property involved in a case or lawsuit must be within the jurisdiction and scope, follow procedures, not infringe upon the legitimate rights and interests of individuals and organizations; ensuring that the value of such property is equivalent to the estimated damage of the case. Using necessary measures appropriately to ensure the value of property related to the case, minimize the impact of the investigation on business operations after obtaining a consensus from the proceeding authorities and ensure that the investigation activities are not affected.

8. Clearly distinguishing between lawfully acquired property with those derived from legal violations, other property concerning cases; between the property, rights, and obligations of enterprises with those of individual executives of such enterprises during the handling of violations and resolving cases.

9. Timely and effectively handling evidence and property without affecting the proof and resolution of cases and lawsuits; promptly remedying the damage caused, bringing assets into exploitation and use, in order to unlock development resources, prevent losses and waste; ensuring the interests of the State, the legal rights and interests of organizations and individuals; in accordance with international treaties of which the Socialist Republic of Vietnam is a member.

Article 6. Bankruptcy proceedings

1. Expanding the circumstances and grounds for the Courts to consider and decide the bankruptcy proceeding under abridged procedures for enterprises.

2. Ensuring a minimum reduction of 30% in time and the simplification of the procedures compared to the regular procedures when applying bankruptcy proceeding under abridged procedures as specified in clause 1 of this Article.

Chapter III

SUPPORT FOR ACCESS TO LAND AND PREMISES FOR PRODUCTION AND BUSINESS, LEASE OF BUILDINGS AND LAND IN THE FORM OF PUBLIC PROPERTY

Article 7. Support for access to land and premises for production and business

1. Administrative divisions are allowed to use their local-government budgets to providing a part of financial support for the development of the infrastructure system of industrial parks, industrial clusters, and technology incubators. Support items: Support in land repossession, recompense, resettlement; support in investment in traffic infrastructure works, electricity supply infrastructure works, water supply and drainage infrastructure works, wastewater treatment infrastructure works, and telecommunications infrastructure works.

2. Investors in infrastructure for industrial parks, industrial clusters, and technology incubators provided with supports as stipulated in Clause 1 of this Article must allocate a portion of the land area within which the infrastructure investments have been made to high-tech enterprises in the private sectors, small and medium-sized enterprises, and startups for lease and sublease. The provisions of the law on the management and use of public property shall not apply to property formed from the financial support specified in Clause 1 of this Article.

3. Based on the actual situation and the capacity to balance the local government budgets, the provincial People's Committees shall stipulate the principles, criteria, norms for support for investment, and determine the area of land where infrastructure investments have been made of industrial parks, industrial clusters, and technology incubators allocated to high-tech enterprises in the private sectors, small and medium-sized enterprises, and startups for lease and sublease as stipulated in Clauses 1 and 2 of this Article.

4. For newly established industrial parks and industrial clusters after the effective date of this Resolution, the provincial People's Committees, based on the actual situation, shall determine the land area for each industrial park and industrial cluster where infrastructure systems have been developed, ensuring an average of 20 hectares per industrial park or industrial cluster or 5% of the land area of the industrial park or industrial cluster of the provincial divisions to be allocated for high-tech enterprises in the private sectors, small and medium-sized enterprises, and startups for lease or sublease.

5. For a newly established industrial park or industrial cluster specified in Clause 4 of this Article, if the support for investment by the State for the construction of infrastructure systems for the industrial park or cluster is not provided and no high-tech enterprises in the private sectors, small and medium-sized enterprises, or startups lease or sublease the industrial park or industrial cluster after 02 years from the date on which the industrial park or cluster completes the development of infrastructure, the investor in the infrastructure of the industrial park or cluster shall have the right to lease out or sublease out the industrial park or industrial cluster to other enterprises.

6. High-tech enterprises in the private sectors, small and medium-sized enterprises, and startups are provided with the support for reducing at least 30% of land rent for subleased land for the first 05 years from the date of signing the land lease contracts with the investors in the infrastructure of the industrial parks, industrial clusters, or technology incubators. This amount of support for land rent shall be reimbursed to the investors by the State in accordance with the regulations set forth by the Government. The Provincial People’s Committees shall issue decisions to reduce land rent for subleased land as prescribed in this clause.

Article 8. Support for lease of buildings and land in the form of public property

1. The State shall provide support for small and medium-sized enterprises, supporting industry enterprises, and innovative enterprises to lease buildings and land in the form of public property that is unused or underused in the administrative divisions.

2. The Government shall stipulate the principles and beneficiaries of support as outlined in Clause 1 of this Article.

3. The provincial People's Committees shall make the list of public property available for lease, the criteria, the level of support, the forms of support, the procedures for leasing out each type of property, and ensure public disclosure on the websites of the provincial divisions.

Chapter IV

FINANCIAL SUPPORT, CREDIT SUPPORT, AND PUBLIC PROCUREMENT SUPPORT

Article 9. Financial support, credit support

1. Enterprises in the private sectors, household businesses, and individual businesses are provided by the State with an interest rate subsidy of 2% per year when taking loans to implement green and circular projects and apply the Environmental, Social, and Governance (ESG) standards framework.

2. The small and medium-sized enterprise development fund shall perform the following functions:

a) Lending to small and medium-sized enterprises;

b) Granting loans used for entrepreneurship;

c) Providing initial funding for innovative startup projects and incubator establishment projects;

d) Investing in local investment funds and private investment funds to increase the capital supply for small and medium-sized enterprises and startups;

D) Receiving and managing loans, funding, aid, contributions, and trusts from organizations and individuals to support small and medium-sized enterprises.

Article 10. Support for taxes, fees and charges

1. The corporate income tax on income generated from innovative startup activities of startups, startup investment fund management companies for innovative startups, and start-up assistance organizations shall be eligible for exemption of corporate income tax for 02 years and 50% reduction in the tax payable for the next 04 years. The duration for tax exemptions and reductions shall be determined in accordance with corporate income tax laws.

2. The personal income tax and corporate income tax on income derived from the transfer of shares, capital contributions, the right to contribute capital, the right to purchase shares, and the right to purchase capital contributions in startups shall be exempted.

3. The personal income tax on income from salaries and wages of experts and scientists received from startups, research and development centers, innovation centers, and start-up assistance organizations shall be eligible for exemption of personal income tax for 02 years and 50% reduction in the tax payable for the next 04 years.

4. The corporate income tax for small and medium-sized enterprises shall be exempted for 3 years from the date of issuance of the first enterprise registration certificate.

5. The costs borne by a large enterprise for providing training and retraining for small and medium-sized enterprises participating in the chain can be recorded as deductible expenses when calculating corporate income tax.

6. Household businesses and individual businesses shall stop paying fixed tax from January 1, 2026. Household businesses and individual businesses shall pay tax according to tax administration laws.

7. The collection and payment of license fees shall stop from January 01, 2016.

8. Fees and charges for reissuance or renewal/replacement of documents incurred by organizations, individuals and enterprises when the state apparatus is reorganized in accordance with laws shall be exempted.

Article 11. Incentives for contractor selection

1. Contract packages of goods procurement or construction and mixed contract packages of goods supply and construction funded by the state budget priced at 20 billion VND or less shall be designated for small and medium-sized enterprises. Prioritizes shall be given to enterprises owned by youth, women, ethnic minorities, disabled individuals, and those located in mountainous, border, and island areas.

2. If all small and medium-sized enterprises fail to meet the requirements after the bidding process is over, it is permissible to hold the bidding again without having to apply the provisions in Clause 1 of this Article.

Chapter V

SUPPORT FOR SCIENCE, TECHNOLOGY, INNOVATION, DIGITAL TRANSFORMATION, AND HUMAN RESOURCES TRAINING

Article 12. Support for research, development, and application of science, technology, innovation, and digital transformation

1. Enterprises may allocate up to 20% of their assessable income to establish funds for the development of science, technology, innovation, and digital transformation. These funds may be used for in-house R&D or outsourced R&D through outcome-based contracting. These funds shall be used in accordance with corporate income tax laws.

2. Enterprises are allowed to record 200% of actual R&D expenses as deductible expenses when determining assessable income.

3. The State shall allocate funding to provide free digital platforms and common accounting software for small enterprises, micro-enterprises, household businesses, and individual businesses in accordance with the Government’s regulations.

Article 13. Support for enhancing corporate governance capacity and human resource quality

1. The state budget shall be allocated to implement programs for training and refresher training of 10.000 executive directors by 2030.

2. Free services including legal consulting, training in business administration, accounting, taxation, and human resources shall be provided for small enterprises and micro-enterprises, household businesses, and individual businesses.

Chapter VI

SUPPORT FOR THE FORMATION OF MEDIUM AND LARGE ENTERPRISES, PIONEERING ENTERPRISE

Article 14. Commissioning, limited bidding, and direct contracting for the implementation of key projects of national significance

1. The State is expanding the participation of enterprises in the private sectors in key projects of significant importance for socio-economic development, as well as projects of national significance, through direct investment or PPP investment or other collaborative models between the State and private sector as stipulated by law.

2. Authorized persons and investors may choose one of the forms including commissioning, limited bidding, or direct contracting, or any other appropriate form in accordance with the law to implement strategies, key scientific research projects and missions of national significance, high-speed railways, urban railways, foundational industries, spearhead industries, energy infrastructure, digital infrastructure, green transportation, national defense, security, and urgent tasks, ensuring transparency, clarity, quality, progress, efficiency, and accountability.

Article 15. Support for the establishment and development of medium and large enterprises, regional- and global-scale private economic groups

The State shall develop programs and allocate state budget to support the formation and development of medium and large enterprises, as well as regional- and global-scale private economic groups through the following programs:

1. The program aims to develop 1.000 exemplary enterprises that are pioneers in the application of science and technology, innovation, digital transformation, green transformation, high-tech industry, and supporting industries;

2. The Go Global program aims to provide support in terms of market, capital, technology, branding, distribution channels, logistics, insurance, consulting, legal matters, mergers and acquisitions, connectivity with multinational corporations, and resolution of business and trade disputes.

Chapter VII

IMPLEMENTATION PROVISIONS

Article 16. Implementation

1. The Government, the Council of Judges of the Supreme People's Court, the Chief Justice of the Supreme People's Court, the Head of the Supreme People's Procuracy, and the local provincial authorities shall, within their jurisdiction, provide detailed regulations and guidance on the application and organization of the implementation of this Resolution to ensure conditions for access and to implement favourable, feasible, and effective mechanisms and policies.

2. The Government, Ministries, ministerial agencies, other central authorities and local governments shall emphasize their responsibilities, particularly the responsibility of leaders in directing the organization of implementation, inspection and examination of the compliance with regulations of this Resolution, ensuring transparency, clarity, effectiveness and feasibility; and preventing any exploitation of policies, losses, and wastage.

3. By December 31, 2026, completing the review, amendment, supplementation, and improvement of land laws, planning laws, and investment laws; continuing to review, amend, supplement, and improve other laws related to business investment to fully institutionalize Resolution No. 68-NQ/TW dated May 4, 2025, of the Politburo on the private sector development.

4. Assigning the Government to:

a) By December 31, 2025, complete the review and elimination of unnecessary business conditions, overlapping and inappropriate regulations that hinder the development of private enterprises; reduce at least 30% of the processing time for administrative procedures, at least 30% of legal compliance costs, at least 30% of business conditions, and continue to implement significant reductions in the following years;

b) Clearly delegate tasks, authority and responsibilities among levels and sectors of each agency and unit, clearly define the accountability of the leaders in the resolution of administrative procedures;

c) Establish a mechanism for evaluating and providing feedback on barriers and obstacles in business operations;

d) Address the inconsistency in policy implementation between the central authorities and local authorities, among various ministries and central authorities, and among local authorities themselves.

5. Heads of agencies, units, and officials, public employees, and workers involved in the establishment, promulgation, and implementation of the mechanisms and policies stipulated in this Resolution shall be considered for exemption or discharge of responsibility in cases where they have fully carried out the relevant processes and regulations, have not acted for personal gain during the execution of their duties, but have incurred losses due to objective risks.

Organizations and individuals who have achieved outstanding results in the implementation of this resolution shall be rewarded in accordance with the provisions of the law. Acts of corruption, exploitation, and harassment by officials during the implementation of this Resolution shall be strictly handled.

6. The National Assembly, the Standing Committee of National Assembly, the Central Committee of Vietnamese Fatherland Front, Ethnic Minority Council, Committees of the National Assembly, Delegations of the National Assembly, the National Assembly deputies, the People's Councils at all levels shall, within the ambit of their duties and powers, supervise the implementation of this Resolution.

Article 17. Implementation clauses

1. This Resolution comes into force from the day on which it is adopted by the National Assembly.

2. In cases where there are differing regulations regarding the same issue between this Resolution and other laws or resolutions of the National Assembly, the provisions of this Resolution shall prevail. In cases where other legislative documents provide mechanisms, incentives that are more favourable than those stipulated in this Resolution, the provisions of those legislative documents shall apply.

This Resolution was passed on May 17, 2025, by the XVth National Assembly of the Socialist Republic of Vietnam at its 9th session.

CHAIRPERSON OF THE NATIONAL ASSEMBLY Tran Thanh Man