Vietnamese Regulations On Investment Project Approval (Latest Update)

The following article is an overview of the newly enforced Vietnamese Investment Law of 2025. By examining the specific legal requirements outlined in Article 24 and Article 25, Apolo Lawyers will explain which project categories demand in-principle approval and identify the exact government authorities responsible for issuing an Investment Registration Certificate. Clients can contact our Hotline at +84 979.489.879 to receive the best consultation and support from Apolo Lawyers.

1. Introduction to the New Legal Framework On Investment Project Approval

The landscape of corporate law in Southeast Asia is shifting rapidly. With the introduction of the Investment Law of 2025, which took effect on March 1, 2026, the government of Vietnam aims to modernize the business environment. A core component of these Vietnam Investment Law updates is the comprehensive reform of the Vietnam investment project approval framework. By easing administrative burdens, the revised FDI regulations of Vietnam provide a clearer, more predictable path for international businesses entering the market. Understanding these latest legal standards is essential for legal compliance and strategic planning.

Vietnamese Regulations On Investment Project Approval (Latest Update)

2. Projects Subject to In-Principle Approval (Article 24)

Article 24 of the Investment Law of 2025 establishes a specific list of 20 project categories requiring in-principle approval. This mechanism primarily targets sensitive sectors and large-scale infrastructure developments. Projects involving seaports, airports, telecommunications, publishing, journalism, and major land or maritime allocations fall under this requirement.

However, a major improvement within the new foreign investment procedures of Vietnam is the introduction of exemptions. Article 24 outlines specific circumstances where standard commercial projects do not require this preliminary consent, particularly for land allocation without auction. By narrowing the scope of mandatory reviews, the revised Vietnam investment project approval criteria significantly reduce the timeline for establishing conventional commercial operations.

3. Competent Authorities for Approving Investment Projects (Article 25)

Following the classification of projects, Article 25 of the Investment Law of 2025 redefines the designated authorities responsible for granting consent. The revised investment approval process in Vietnam centralizes decision-making power to increase efficiency.

Currently, the authority to grant in-principle approval rests almost exclusively with the Prime Minister and the Chairmen of the Provincial People Committees. By removing the National Assembly from standard review procedures (as the National Assembly will only review investment projects that require special approval - i.e., those not currently provided for in the law). The Prime Minister handles projects of national importance, while provincial chairs manage local developments. This streamlined jurisdiction eliminates overlapping administrative layers and provides a definitive roadmap for corporate compliance.

Vietnamese Regulations On Investment Project Approval (Latest Update)

4. Strategic Preparation for Foreign Capital Deployment

Navigating the legal requirements demands meticulous preparation. While the updated regulations permit businesses to establish a corporate entity prior to having a fully approved project in some cases, securing an Investment Registration Certificate Vietnam remains a critical milestone for long-term operations.

Foreign enterprises must assess all proposed business lines against the statutory categories defined in Article 24. Properly identifying the appropriate regulatory classification ensures a smooth Vietnam investment project approval experience. By aligning corporate strategies with the latest legal frameworks, international firms can achieve successful launches and maintain full compliance with the Vietnamese investment regulations.

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