21/05/2026
VIETNAM’S LAW ON INVESTMENT 2025: SIX BREAKTHROUGH REFORMS INVESTORS SHOULD KNOW
Vietnam’s new Law on Investment 2025 marks a major step toward a more transparent, efficient, and investor-friendly business environment. The new regulations are designed to accelerate market entry, simplify administrative procedures, and provide greater certainty for both domestic and foreign investors.
Here are six key reforms businesses should pay close attention to:
✅ ERC BEFORE IRC
Foreign investors may now obtain the Enterprise Registration Certificate (ERC) first and complete the Investment Registration Certificate (IRC) within 12 months afterward — enabling businesses to commence operations more quickly.
✅ FLEXIBLE PROJECT DURATION
Priority sectors such as semiconductors, AI, 5G infrastructure, and R&D centers may benefit from project terms of up to 70 years, offering stronger long-term investment stability.
✅ FEWER CONDITIONAL BUSINESS LINES
The number of conditional business sectors has been reduced from 227 to 198, helping businesses reduce compliance burdens and enter the market more easily.
✅ STREAMLINED APPROVAL PROCEDURES
Certain projects may now proceed directly to investment registration without requiring Investment Policy Approval, significantly shortening administrative timelines.
✅ SIMPLIFIED OUTWARD INVESTMENT
Vietnamese enterprises investing overseas now benefit from a simplified one-step registration process instead of the previous two-step approval mechanism.
✅ THE “GREEN LANE” MECHANISM
Qualified high-tech projects in designated zones may access a special fast-track procedure based on compliance commitments, reducing the need for multiple pre-approvals.
📌 These reforms reflect Vietnam’s strong commitment to creating a more efficient, transparent, and competitive investment environment. As the legal framework continues to evolve, businesses should stay updated on the new ERC-first mechanism, evaluate opportunities under the Green Lane procedure, and ensure compliance strategies are aligned with the latest regulations.
At SB Law, we provide practical, business-oriented legal solutions to help investors and enterprises navigate Vietnam’s evolving regulatory landscape with confidence.
With extensive experience in investment, licensing, corporate, and M&A matters, SB Law proudly supports both foreign and domestic businesses in establishing and expanding their operations successfully in Vietnam.
📩 Contact SB Law for legal support and investment advisory services in Vietnam.