The 2025 Law on Management and Investment of State Capital in Enterprises, passed by the National Assembly on June 14, 2025, took effect from August 1.

Under the law, State-owned enterprises (SOEs) are permitted to invest in real estate, to purchase securities in accordance with securities law, to decide their own salary and bonus policies and to manage asset transactions.

Moreover, SOEs are allowed to conduct business activities in line with legal regulations and the State's directives as the owner, which are outlined in the company's charter and development strategy.

They have also the right to lease, rent out, hire-purchase, mortgage, pledge and buy fixed assets.

SOEs can proactively sell fixed assets that are damaged, technically outdated, no longer needed, unusable or inefficient.

The law also introduces a new mechanism for salaries and bonuses. The Government will only regulate the salary, remuneration and bonuses of the owners' representatives and the controllers at SOEs.

Bonuses for employees, direct owner representatives and controllers will be drawn from after-tax profits.

The new law regulates that after fulfilling all legal obligations, enterprises can allocate up to 50% of a development investment fund. This fund is intended for expanding the company’s production and business operations.

SOEs can also set aside up to three months' worth of salaries to establish a commendation and welfare fund, based on their performance and classification.

The law also regulates capital sources for investment, which include the State budget, public assets, the development investment fund, the charter capital reserve fund, after-tax profits retained to increase charter capital, stock dividends and share capital surplus.