The 16th National Assembly on August 24 passed a law amending and supplementing several provisions of the Investment Law, with the new legislation set to take effect on March 1, 2027.
A major highlight of the revised law is the comprehensive review of conditional business lines. Based on this review, in the draft amendment, the Government had removed 62 conditional business lines and adjusted the scope of 14 others, representing a 28.28% reduction compared with the 2025 Investment Law.
The streamlining is also expected to eliminate around 786 business conditions and approximately 232 overlapping or complicated administrative procedures. Compliance costs for businesses are projected to fall by about VND175 billion ($6.6 million) annually, while the time required for compliance could be reduced by roughly 7,500 hours a year.
The amended law also introduces transitional provisions to ensure that business operations are not disrupted during the implementation of the new regulations. Under the provisions, organisations and individuals operating in sectors where business conditions have been abolished will be allowed to continue their activities without having to comply with the former requirements, since the amended law takes effect.
The reform is expected to improve the investment and business environment, reduce regulatory burdens and create greater flexibility for businesses, while maintaining necessary state oversight in sectors where specific conditions remain.
Google translate