VCCI Unveils 2024 Business Law Flow Report: Four Key Trends Shaping Vietnam’s Legal Landscape
Hanoi, April 22, 2025 — The Vietnam Chamber of Commerce and Industry (VCCI) has released its annual “Business Law Flow Report 2024,” highlighting four major trends in Vietnam’s legal and regulatory environment that are influencing the business community. The report was presented at a conference held at VCCI’s headquarters in Hanoi, alongside a companion study on technical standards and regulations.
1. Administrative Reform and Compliance Cost Reduction
The report notes that administrative reforms and efforts to reduce compliance costs have continued to advance. The government has made significant strides in simplifying business conditions, streamlining procedures, and decentralizing authority to local agencies. These changes have led to more transparent and business-friendly regulations. Notably, the business community has become more proactive in contributing feedback to policy-making processes.
2. Implementation Challenges Due to Outdated Management Mindsets
Despite reform efforts, the implementation of some policies remains hindered by outdated management approaches. Complex investment and licensing procedures, along with rigid regulations in sectors such as fuel distribution, aviation, and notary services, continue to pose challenges. The report emphasizes the need for a shift towards more flexible and market-oriented regulatory frameworks.
3. Financial and Tax Policy Developments
Financial and tax policies have seen positive developments, including tax exemptions and fee reductions aimed at supporting economic recovery. However, businesses still face challenges such as high compliance costs, time-consuming procedures, and inconsistencies across tax regulations. The report calls for greater synchronization and clarity in financial legislation.
4. E-Commerce Policy Adjustments
E-commerce continues to grow rapidly, prompting timely policy adjustments. Nevertheless, existing regulations often fall short in addressing the realities of small-scale and informal online businesses. The report advocates for a comprehensive legal framework that ensures fair competition, transparency, and protection for all stakeholders in the digital economy.
Legislative Activity in 2024
In 2024, Vietnam’s legislative bodies enacted a significant volume of legal documents: 31 laws, 182 decrees, and 629 circulars. While this reflects a dynamic legislative environment, the report points out that the rapid pace of law-making sometimes results in superficial reforms and insufficient stakeholder consultation.
Special Focus Areas
The 2024 report also delves into specific legal issues impacting investment and business operations, particularly in land use and waste-to-energy projects. Additionally, it includes a dedicated study on Vietnam’s system of technical standards and regulations, offering recommendations to enhance regulatory quality while reducing compliance burdens for businesses.
VCCI’s annual “Business Law Flow Report,” now in its eighth edition, serves as a vital resource for policymakers, businesses, and legal experts. It aims to inform and guide the development of a more conducive legal environment for investment and economic growth in Vietnam.