The road will connect Nam Dinh city in Nam Dinh province to Hoa Lu city in the neighboring province of Ninh Binh,

The northern province of Nam Dinh has proposed an investment policy for the landscape axis road project, which will connect its Nam Dinh city to Hoa Lu city in the neighboring province of Ninh Binh, with a total investment capital estimated at approximately VND 29 trillion (over $1.1 billion).

According to the proposal, the route will span 43.8 km, including a main line of 20.7 km from Ring Road 2 in Nam Dinh city to Dinh Tien Hoang Street in Hoa Lu city, designed for a speed of 120 km/h. The main line will have a cross-section of 130.5 meters, featuring six high-speed lanes and eight parallel lanes.

Additionally, the project includes connection routes totaling 23.1 km, comprising an 18 km expansion of Ring Road 2 in Nam Dinh city and the construction of 5.1 km of branch roads. These sections will be developed according to urban road standards, with eight lanes, a 71-meter cross-section, 10-meter-wide sidewalks on both sides, and a 100-meter land clearance width.

The investment for the project will come from the Nam Dinh provincial budget, revenue from land use rights auctions along the route, and other legal capital sources. The implementation period is scheduled for 2025-2030.

Beyond completing the inter-regional transportation network, the project is expected to unlock socio-economic development opportunities for both Nam Dinh and Ninh Binh provinces. The new route will also connect key industrial zones and tourist areas, forming an inter-regional development axis, advancing sustainable development goals, and improving residents' livelihoods.

-Nguyễn Thuấn

The company expects a $900 million cost impact from tariffs in the June quarter, according to Apple CEO Tim Cook.

Apple has announced that the majority of its technology devices shipped and sold in the US market in the second quarter will originate from Vietnam and India, in a move aimed at addressing investor concerns over the impact of tariffs on businesses.

Although most iPhones to be sold in the US are currently manufactured in China, iPhone production in India has surged since the Trump administration imposed reciprocal tariffs and China retaliated with corresponding trade restrictions, posing challenges for Apple. To mitigate risks from the escalating US-China trade tensions, Apple has expanded production operations in India.

Last month, Apple was among the technology companies most affected by its reliance on China’s supply chain.

Apple CEO Tim Cook said the company expects a $900 million cost impact from tariffs in the June quarter. He said most iPhones sold in the U.S. next quarter will be made in India, while nearly all iPads, Macs, Apple Watches, and AirPods will come from Vietnam. 

The current US administration is still considering additional trade measures that could impact technology companies, with Apple facing a 20% tariff on imports from China and a 10% tariff on goods imported from India into the US market.

-Phạm Vinh

Focus made on promoting investment mobilization for Con Dao’s international airport.

Prime Minister Pham Minh Chinh has asked authorities of southern Ba Ria-Vung Tau province to develop its Con Dao island district into a world-class tourist destination.

At a working session with the Standing Board of the provincial Party Committee on May 3, PM Chinh instructed local authorities to finalize and implement a scheme for applying special mechanisms for Con Dao's development.

PM Chinh instructed the province to promote investment mobilization for Con Dao’s international airport via public-private partnerships.

He suggested that the province ensure integrated planning of healthcare, education, culture and social infrastructure, while increasing investment in power, clean water, waste treatment and 5G coverage and greening Con Dao’s cemeteries.

 

 

-Tiến Dũng

At the session which opens on May 5, the amendment and supplement of some articles of the 2013 Constitution will also be passed.

At its 9th sitting which opened in Hanoi on May 5, the 15th National Assembly is expected to approve 34 new or revised laws and 11 resolutions, including a resolution on amending and supplementing a number of articles of the 2013 Constitution, Secretary General of the National Assembly Le Quang Tung was quoted by the Government News as stating at a press briefing on May 4.

These laws include:

1.Criminal Code (revised),

2.Law on personal data protection,

3.Law on cadres and civil servants (revised),

4.Law on digital technology industry,

5.Law on chemicals (revised),

6.Law on science, technology and innovation,

7.Law on atomic energy (revised),

8.Law on teachers,

9.Law on State budget (revised),

10.Law on management and investment of State capital at enterprises,

11.Law on special consumption tax (revised),

12.Law on corporate income tax (revised),

13.Law on participation in UN peacekeeping,

14.Law on inspection (revised),

15.Law on organization of local administrations (revised),

16.Law on employment (revised),

17.Law amending and supplementing a number of articles of the civil procedure code, the law on administrative procedures, the law on juvenile justice, the law on brankruptcy, and the law on mediation and dialogue at court,

18.Law amending and supplementing a number of articles of the criminal procedure code,

19.Law amending and supplementing a number of articles of the Law on promulgation of legal documents,

20.Law amending and supplementing a number of articles of the Law on election of deputies to the National Assembly and the People’s Councils,

21.Law amending and supplementing a number of articles of the Law on credit organizations,

22.Law amending and supplementing a number of articles of the law on quality of products and goods,

23.Law amending and supplementing a number of articles of the Law on enterprises,

24.Law amending and supplementing a number of articles of the Law on bidding, the Law on public-private investment model, the Law on customs, the Law on export-import duties, the Law on investment, the Law on public investment, the Law on management and use of public assets,

25.Law amending and supplementing a number of articles of the Law on advertisement,

26.Law amending and supplementing a number of articles of the Law on Vietnamese nationality,

27.Law amending and supplementing a number of articles of the Law on planning,

28.Law amending and supplementing a number of articles of the Law on Viet Nam Fatherland Front, the Law on trade unions, the Law on youth, and the Law on implementation of grassroots democracy,

29.Law amending and supplementing a number of articles of the Law on economical and efficient use of energy,

30.Law amending and supplementing a number of articles of the Law on standards and technical regulations,

31.Law amending and supplementing a number of articles of the Law on organization of people’s courts,

32.Law amending and supplementing a number of articles of the Law on organization of people’s procuracies,

33.Law amending and supplementing a number of articles of the Law on handling of administrative violations, and

34.Law amending and supplementing a number of articles of laws in defense and security area.

Resolutions to be approved include:

1.Resolution on mechanisms and policies for private economy development,

2.Resolution on pilot mechanisms and policies for railway system development investment,

3.Resolution on pilot mechanisms and policies for social housing development,

4.Resolution on tution exemption and support for preschool children, high school students, and students of general education programs at educational institutions in the national education system,

5.Resolution on several special mechanisms and policies for legislation formulation and enforcement,

6.Resolution on education univeralization for preschoolers aged between 3 to five years,

7.Resolution on extending the period of exemption from agricultural land use tax is stipulated in Resolution No. 55/2010/QH12 of the National Assembly on exemption and reduction of agricultural land use tax, which has been amended and supplemented by a number of articles under Resolution No. 28/2016/QH14 and Resolution No. 107/2020/QH14,

8.Resolution on piloting the People's Procuracy initiating civil lawsuits to protect the civil rights of vulnerable groups or to protect public interests,

9.Resolution replacing Resolution No. 35/2021/QH15 dated November 13, 2021 of the National Assembly on piloting a number of specific mechanisms and policies for the development of Hai Phong city, and

10.Resolution on reducing value-added tax.

Revision of 2013 Constitution:

The law-makers are expected to approve a resolution of the National Assembly on amending and supplementing a number of articles of the 2013 Constitution.

The legislators will also discuss the following bills:

1.Law on transfer of sentenced persons,

2.Law on extradition,

3.Law on railway (revised),

4.Law on emergency situations,

5.Law on legal aid in civil matters, and

6.Law on legal aid in criminal matters.

During the session, the National Assembly will review a report on thrift practice and anti-wastefulness in 2024, and a report on the outcomes of the implementation of national targets on gender equality in 2024.

It will also debate and approve a resolution on merger of provincial-level administrative units; consider and decide the establishment of National Election Council and elect Chairman of the National Election Council; consider and decide investment policies for Quy Nhon-Pleiku expressway and Ring Road No. 4 in Ho Chi Minh City.

 

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Green and sustainable finance is no longer simply an option for Vietnam as it shifts towards a low-carbon economy and strives to meet its development targets.

Vietnam’s green and sustainable finance market remain in its early stages of development. Delays in issuing legal frameworks and the absence of strong incentives to channel capital into sustainable sectors remain persistent challenges that have yet to be effectively addressed.

Speaking at a recent seminar, Mr. Thomas Jacobs, Country Manager of the International Finance Corporation (IFC) for Vietnam, Cambodia, and Laos, emphasized that for Vietnam to achieve high-income status by 2045, a shift towards a low-carbon economy is essential. In this transition, green and sustainable finance is not just an option, it is a fundamental pillar for ensuring long-term growth and competitiveness.

Progress made, but challenges remain

According to Mr. Jacobs, Vietnam faces significant risks from climate change, posing major challenges to its goal of becoming a high-income nation by 2045. Numerous environmental reports highlight the threats the country must confront, including rising temperatures and droughts in the north, typhoons and flooding in the central region, and saltwater intrusion in the Mekong Delta, the country’s agricultural heartland.

The Vietnam Country Climate and Development Report by the World Bank estimates that Vietnam will need to mobilize $368 billion for climate action by 2040, with $184 billion expected to come from the private sector.

Mr. Nguyen Tung Anh, Senior Manager, Credit Risk Research and Head of Sustainable Finance Services at FiinRatings, noted that green finance is gradually taking root. According to the credit rating agency, green credit has grown consistently and significantly since 2015, with an impressive surge from 2020 onwards, reaching an estimated VND679 trillion ($27.16 billion) as of the end of 2024. Compared to the overall credit growth rate of 12-15 per cent annually from 2018 to 2024, green credit has expanded at a much faster pace, with some years, such as 2018 and 2021, recording growth of up to 30 per cent.

Leading banks such as VietinBank, ACB, Agribank, and MB are not only embracing the green finance trend but are also proactively developing their own standards for green lending. These initiatives create greater flexibility in financing mechanisms and expand access to green capital. BIDV, for example, has introduced a green project portfolio with preferential interest rates and exchange rates while gradually phasing out credit for high-carbon-emitting industries such as steel, cement, and fertilizers. Similarly, VietinBank and ACB have introduced sustainable finance frameworks, demonstrating both their commitment and the broader transformation of Vietnam’s financial sector towards sustainability.

Vietnam’s green bond market is also showing encouraging signs. Data from FiinRatings indicates that the issuance of sustainable bonds (GSS) has surged in recent years, reaching an estimated VND6.875 trillion ($275 million) in 2024, up from VND2.5 trillion ($100 million) in 2023.

Beyond existing sustainable investment funds, new investment models are emerging, offering more options for investors focused on sustainable finance. A key milestone in this space is Eastspring’s EVESG Fund, which conducted Vietnam’s first independent ESG (environmental, social, and governance) fund assessment.

Despite this momentum, Mr. Jacobs cautioned that the pace of green finance adoption in Vietnam remains sluggish, with no significant breakthroughs as yet.

Key step for sustainable finance

Vietnam has yet to establish a comprehensive green taxonomy, leaving a crucial gap in the country’s sustainable finance framework. According to Mr. Tung Anh, the availability of professionals with strong expertise in ESG and green finance remains limited, as these emerging requirements demand interdisciplinary knowledge spanning finance, engineering, environmental science, and regulatory compliance. Additionally, the absence of a clear legal framework and limited in-house expertise pose risks for businesses, including accusations of “greenwashing”.

Experts emphasize that establishing a green taxonomy in Vietnam is crucial for transitioning to a sustainable, low-carbon, and climate-resilient economy. A green taxonomy provides a standardized and harmonized approach to defining and identifying sustainable activities. Vietnam’s national green taxonomy must address domestic needs while aligning with international investor expectations. This ensures that national priorities are met without creating additional barriers to cross-border sustainable capital flows. Regulatory oversight of such classifications will also play a key role in supporting green credit.

According to Decree No. 08/2022/ND-CP, the Ministry of Natural Resources and Environment (now the Ministry of Agriculture and Environment) was required to submit the national green taxonomy to the government by December 31, 2022. However, it remains in draft form and has yet to be officially issued. Moreover, experts highlight that high costs deter many businesses from entering the green finance market.

Issuing green bonds involves not only working with issuance advisory firms but also undergoing complex verification processes. Companies must secure third-party validation of their compliance with green bond frameworks and, depending on the nature of the project, may also require experts to assess green products or sustainable buildings. Notably, green bond interest rates do not significantly differ from conventional bonds, while issuance costs are considerably higher.

To develop Vietnam’s green bond market and other labeled bonds, experts recommend that government agencies establish clear guidelines for issuance, certification, and reporting while also introducing incentive policies to encourage issuance and investment. Experts also suggest that the Vietnamese Government consider issuing “green government bonds” as a model to provide a strong foundation for the domestic labeled bond market.

Additionally, international collaboration within sustainable finance networks can be leveraged to support Vietnam’s efforts to advance its sustainable financial market. Participation in these networks can enhance knowledge-sharing, promote best practices, increase awareness among stakeholders, foster policy commitments, and build capacity across relevant sectors.

Unlocking the potential of sustainable financial markets requires addressing complex challenges. Analysts recommend that policymakers prioritize actions strategically and accelerate implementation to unlock capital flows for sustainable growth.

 

"According to data, while the banking system holds up to 80 per cent of domestic savings, only 5.4 per cent of that is allocated to climate-related projects. Additionally, the total issuance of green, social, and sustainability bonds from 2016 to 2024 reached only $1.4 billion; a modest figure compared to its potential."

Mr. Thomas Jacobs, Country Manager of the International Finance Corporation (IFC) for Vietnam, Cambodia, and Laos

 

 

 

 

 

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-Nhat Linh

With the achievements recorded in the first four months of 2025, the northern province reaffirms its status as a top destination on Vietnam’s tourism map.

The northern province of Ninh Binh has welcomed 5.6 million tourist arrivals in the past four months, a 13.63% increase compared to the same period last year, according to the Provincial Department of Tourism. Of these, the number of overnight stays at accommodation establishments is estimated at over 1.052 million, a 24.53% rise year on year.

Total tourism revenue during this period is estimated at over VND6 trillion (approximately $230.8 million), marking a 31.02% increase compared to the same period last year.

Under the theme "Vietnam – Travel to Love", tourist areas, attractions, and service businesses in Ninh Binh province have proactively organized activities to enhance visitor experiences, improve product quality, and introduce new tourism offerings.

Meanwhile, tourism service providers are ensuring compliance with legal regulations, maintaining facility conditions, service standards, food safety, and environmental protection.

With the goal of developing tourism into a key economic sector, the locality continues to implement effective strategies to attract domestic and international visitors. The Provincial Department of Tourism is actively promoting and guiding tourist area management, ensuring security, sanitation, and investing in infrastructure upgrades, equipment improvements, and human resource development to provide visitors with the best possible conditions.

With the achievements recorded in the first four months of 2025, Ninh Binh's tourism industry remains on a strong growth trajectory, playing a crucial role in the province’s socio-economic development and reaffirming its status as a top destination on Vietnam’s tourism map.

-Nguyễn Thuấn

Vietnam has adjusted its Power Development Plan and issued various legal instruments as it readies the energy sector for a new era of development.

The National Assembly (NA) has set an ambitious goal of 8 per cent economic growth in 2025 and double-digit growth from 2026 to 2030. To realize this vision, a key driving force will be energy, particularly electricity and sustainable, green energy sources. The Vietnam Economic Association (VEA) and the Vietnam Clean Energy Association, in partnership with Vietnam Economic Times / VnEconomy / Tap chi Kinh te Viet Nam, recently organized the Vietnam Energy Forum 2025, with the theme “Green and Clean Energy Towards a New Economic Era: Solutions to Promote the Development of New Energy Sources in Vietnam.” The event sparked meaningful discussions about the existing energy landscape and the exciting potential of renewable, green, and clean energy for Vietnam’s future.

‘Lifeblood’ of the economy

In his opening address, Dr. Chu Van Lam, Permanent Vice President of the VEA and Chairman of the Editorial Board at Vietnam Economic Times, emphasized the urgency of developing renewable, green, and clean energy. To meet economic growth targets of over 8 per cent in 2025 and strive for double-digit growth during the period from 2026 onwards, and to respond to strategic changes in operational methods, which include education, labor, and production, primarily based on digital platforms, it is essential to adjust and plan the necessary resources more effectively. One of the most fundamental and vital resources is electricity and green, clean energy sources. To meet urgent development goals, the demand for electricity has been calculated by management agencies and experts as increasing by 12-16 per cent annually.

From a practical perspective, especially the need for electricity to support economic development, the Party, State, NA, and government have paid significant attention in recent years to developing energy sources. This is reflected in strategic orientation documents such as Politburo Resolution No. 55-NQ/TW, issued on February 11, 2020, which outlines Vietnam’s National Energy Development Strategy to 2030 with a Vision to 2045.

On May 15, 2023, the Prime Minister issued Decision No. 500/QD-TTg, approving the National Power Development Plan for 2021-2030, with a Vision for 2050 (PDP8). The plan outlines specific directions for developing energy sources, particularly prioritizing the development of renewable, green, and clean energy.

In particular, in the context of needing acceleration and breakthroughs to propel the country into a “New Era - The era of the nation’s rise”, on November 25, 2024, the 13th Central Committee of the Communist Party of Vietnam agreed to restart the Ninh Thuan Nuclear Power Project in the south-central region and continue researching Vietnam’s nuclear energy program to ensure national energy security, meet socio-economic development goals, enhance scientific and technological capacity, and contribute to sustainable national development.

Furthermore, on November 30, 2024, during the 8th session of the 15th National Assembly, the NA officially passed the amended Law on Electricity, replacing the Law on Electricity 2004. The Law on Electricity 2024, effective from February 1, 2025, is expected to resolve existing difficulties and obstacles in the power industry, ensure electricity energy security, aim for net-zero emissions, and contribute to the sustainable and efficient development of the electricity sector, ensuring sufficient electricity supply for socio-economic development and people’s daily life.

Most recently, on March 3, 2025, the government issued Decree No. 58/2025/ND-CP, providing detailed regulations on several provisions of the Law on Electricity related to the development of renewable and new energy. This Decree is an important step in promoting sustainable development in the electricity sector, ensuring energy security, and minimizing environmental impact. It also serves as a positive signal for investors in the renewable energy sector in Vietnam.

Challenges and strategic directions

While numerous mechanisms and policies have been introduced, discussions at the recent Forum highlighted that the development of renewable, green, and clean energy in Vietnam is currently facing significant challenges. Mr. Nguyen Anh Tuan, Vice President and General Secretary of the Vietnam Energy Association, pointed out the real risk of an electricity shortage between 2026 and 2028. This concern arises from the slow pace of electricity generation, coupled with the stagnation in the expansion of renewable energy sources.

Mr. Tuan highlighted four reasons behind this. First, the slow implementation of plans. Second, the delayed resolution of projects continues to be an issue. Third, while offshore wind energy regulations have become clearer, they remain insufficient for effective deployment. As a result, no offshore wind projects have been launched as yet, threatening the target of reaching 6,000 MW by 2030. Finally, although there is a direction to transition from coal-fired thermal power to gas-fired power, progress has been slow.

To address these obstacles in developing renewable and clean energy, on December 31, 2024, the Prime Minister issued Decision No. 1710/QD-TTg approving the task of adjusting the PDP8.

On February 19, 2025, the Council for Appraisal of the Adjustment of PDP8 unanimously approved the adjusted plan. This outlines an additional 27,747-80,819 MW of electricity generation capacity, up from the original PDP8. Notably, the adjusted plan includes the addition of the Ninh Thuan 1 and 2 Nuclear Power Plants, with a total capacity of 6,000-6,400 MW, expected to be operational between 2030 and 2035. The system will need to add approximately 4,500-5,000 MW of nuclear power in the north and around 3,000 MW in the central region by 2050, mostly in the form of small modular reactors (SMR) to provide base load power for the system.

Mr. Tuan emphasized that the adjusted PDP8 significantly increases the scale of solar and wind energy capacity, presenting a promising opportunity for investors. The pricing of electricity will vary by region, reflecting the investment signals and production costs. The draft also introduces significant expansion of pumped storage hydropower, battery storage, and flexible power sources. This opens up ample investment opportunities in new services like ancillary services for the power system and the production of new fuels, such as green hydrogen and ammonia.

To accelerate implementation, Mr. Tuan recommended quickly finalizing regulatory documents, including the amended Law on Atomic Energy and the Law on Energy Efficiency and Conservation. For subordinate documents, regulations on flexible power source pricing, pumped storage hydropower pricing, and the development of renewable and new energy sources should be issued to support their growth.

Experts attending the forum agreed that Vietnam is at a critical juncture with a major opportunity to develop green and clean energy, ensuring energy security and sustainable development. However, to successfully achieve this goal, close collaboration between the government, businesses, citizens, and professional associations is essential. With strong political will, coordinated action across ministries, and active private sector involvement both domestically and internationally, renewable and new energy will become a solid foundation, driving economic and social growth in the new era while aligning with sustainable development.

 

1. Total power capacity according to the adjusted PDP8 approved by the Council for Appraisal of the Adjustment of the PDP8

The total power capacity to meet domestic demand by 2030 (excluding exports, co-generation, and risky thermal power) is 183,291-236,363 MW. This includes:

- Thermal power from coal: 31,055 MW (16.9-13.1%);
- Thermal power using domestic gas: 10,861 MW (5.9-4.6%);
- Thermal power using imported LNG: 8,824 MW (4.8-3.7%); and
- Hydropower: 33,294-34,667 MW (18.2-14.7%);

For renewable energy, biomass, waste-to-energy, geothermal power, storage, and flexible power sources:

- Onshore wind power: 27,791-28,058 MW (13.2-14.4%);
- Solar power (including concentrated solar power and rooftop solar): 46,459-73,416 MW (25.3-31.1%);
- Biomass, waste-to-energy, and geothermal power: 2,979-4,881 MW (1.6-2.1%);
- Energy storage: 12,394-22,271 MW (6.8-9.4%); and
- Flexible power: 2,000-3,000 MW (1.1-1.3%);

Regarding electricity imports, exports, and nuclear power development:

- Imported power: 9,360 MW (5.1-4.0% of total power capacity);
- Projected electricity exports: 5,000-10,000 MW; and
- Nuclear power: 6,000-6,400 MW, to be operational in 2030-2035;

2. Total installed power capacity by 2050, under the adjusted PDP8

- Nuclear power: 9,800 MW (1.2% of total power capacity);
- Thermal power from coal: 0 MW;
- Other thermal power: 124,374 MW (14.6% of total power capacity), including combined-cycle gas turbines + domestic gas, LNG conversion + new LNG combined-cycle gas turbines + flexible power sources;
- Biomass, waste, and other energy sources: 6,364 MW (0.7% of total power capacity); 
- Hydropower: 37,154 MW (4.4% of total power capacity);
- Onshore and nearshore wind power: 96,645 MW (11.3% of total power capacity);
- Offshore wind power: 138,639 MW (16.3% of total power capacity);
- Concentrated solar power: 157,976 MW (18.5% of total power capacity);
- Rooftop solar power: 98,620 MW (16.2% of total power capacity);
- Pumped storage hydropower and battery storage: 112,769 MW (13.2% of total power capacity); and
- Imports: 30,391 MW (3.6% of total power capacity);

 

 

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-Mạnh Đức

Under the new resolution, investment and business legislation will be finalized by 2028, contributing to positioning Vietnam's investment environment among the top three in ASEAN.

Party General Secretary To Lam has signed Resolution No. 66-NQ/TW  of the Politburo on innovating legislation formulation and enforcement to meet the country's development requirements in the new era, according to a report from the Government News.

The resolution, dated April 30, 2025,  sets the goal that by 2030, Vietnam will have a democratic, fair, coherent, unified, transparent, and feasible legal system, with a strict and consistent enforcement mechanism.

The system will lay a solid legal foundation for the regular, continuous, and smooth operation of state agencies after they have been rearranged and streamlined, unlock potential for national development in a bid to turn Vietnam into a developing country with a modern industrial base and upper-middle-income status by the end of this decade.

In 2025, the nation targets to basically resolve legal "bottlenecks" caused by existing regulations.

By 2027, the revision, supplementation, and promulgation of new legal documents will be completed to ensure a consistent legal foundation for the operation of the state apparatus under the three-tier governance (central, provincial and communal levels).

By 2028, investment and business legislation will be finalized, contributing to positioning Vietnam's investment environment among the top three in ASEAN.

With a vision towards 2045, Vietnam aims to build a high-quality and modern legal system that aligns with advanced international standards and practices.

This system will be strictly and consistently enforced, respected, safeguarded, and will effectively protect human rights and citizens' rights.

Also on April 30, 2025, the Politburo set up the central steering committee for improving legislation, headed by Party General Secretary To Lam, with Prime Minister Pham Minh Chinh and National Assembly Chairman Tran Thanh Man serving as its deputy heads. 

 

-Vân Nguyễn

The new regulations outlined in Government Decree No. 94/2025/ND-CP, dated April 29, 2025, which will take effect from July 1.

The Government has issued Decree No. 94/2025/ND-CP on regulatory sandbox mechanism in the banking sector.

The  Decree, which was dated April 29, 2025, and will take effect on July 1, 2025,   covers regulations on the regulatory sandbox mechanism in the banking sector for the deployment .of new products, services, and business models via the application of financial technology or fintech,  according to the Government News.

Fintech solutions eligible for testing under the sandbox mechanism include:

a) Credit scoring;

b) Data sharing via open application programming interfaces (Open API);

c) Peer-to-peer (P2P) lending.

The Decree shall be applicable for the following entities: Credit institutions and foreign bank branches as defined under the Law on Credit Institutions (excluding those involved in P2P lending); Fintech companies; Competent state authorities; Customers and other organizations and individuals related to the sandbox mechanism.

The mechanism aims to promote innovation and modernization in the banking sector, thereby helping to achieve the goal of financial inclusion for individuals and businesses towards a transparent, convenient, safe, efficient, and low-cost manner.

It also creates an experimental environment to assess the risks, costs, and benefits of Fintech solutions and supports the development and creation of Fintech solutions that align with market needs, legal framework, and regulatory requirements.

It also targets to minimize the risks faced by customers when using Fintech solutions provided by organizations participating in the sandbox.

-Phạm Long

The revision aims to synchronize technical infrastructure, meet practical development needs, and align with the approved investment plan.

The Ministry of Construction has approved a partial adjustment to the Quang Tri Airport development plan for the period up to 2030.

The revision aims to synchronize technical infrastructure, meet practical development needs, and align with the approved investment plan.

According to the new decision, adjustments include relocating the turning pad at the 22 end of the runway and adding a new turning pad at the 04 end. Additionally, the GP (glide path) antenna will be moved to the southeast of the 22 end, and a drainage ditch system will be installed along both sides of the runway and the aircraft parking apron, complemented by a culvert system connecting edge ditches to the open canal network.

The Ministry of Construction has tasked the Civil Aviation Authority of Vietnam (CAAV) with leading efforts to coordinate implementation, ensuring compliance with current regulations.

Previously, CAAV had submitted a proposal to the ministry, advocating for a partial adjustment to Quang Tri Airport’s planning to enhance technical infrastructure synchronization and accommodate growing air transport demand.

The construction of Quang Tro Airport is underway in Gio Quang and Gio Mai communes (Gio Linh district), covering over 265 ha. The total investment for the project, spanning two phases, amounts to over VND5.83 trillion (nearly $224.4 million). Upon completion, the airport is expected to accommodate up to 5 million passengers and handle 25,500 tons of cargo, annually.

This planning adjustment marks a significant step in advancing national transportation infrastructure, enhancing connectivity, and fostering trade expansion—both domestically and internationally—for Quang Tri and the Central region in the coming years.

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In addition to their economic impact, Danish investments have brought cutting-edge technology, sustainable production standards, and long-term strategic cooperation opportunities to Vietnam.

Among Nordic countries investing in Vietnam, Denmark stands out as the leader in both investment scale and long-term commitment. Danish investments in Vietnam over recent years have steadily expanded, reflecting the strong interest of Danish enterprises in the Vietnamese market. Denmark is currently not only one of Vietnam’s key trade and investment partners but also has a vital role to play in supporting the country’s sustainable development goals and climate change adaptation efforts.

As of the end of February, total Danish investment capital in Vietnam had exceeded $2.02 billion, in 174 projects in all points of the country, according to figures from the Ministry of Finance. Denmark focuses on key investment sectors in Vietnam, such as renewable energy, industrial manufacturing, consumer goods, and logistics. Beyond driving economic growth, Danish investments are recognized for bringing cutting-edge technology, sustainable production standards, and long-term strategic cooperation opportunities, further enhancing Vietnam’s position on the global investment map.

Expanding ties

Denmark currently ranks 21st among all countries and territories investing in Vietnam and leads among Nordic countries. Vietnam has emerged as an attractive destination for Danish businesses, drawing significant interest from major corporations such as LEGO, Maersk, Pandora, and Carlsberg. These companies have launched large-scale, high-quality projects in the country, underscoring the growing confidence of Danish investors in Vietnam’s market potential.

One standout project from Denmark is the LEGO Group’s $1.3 billion toy manufacturing plant in southern Binh Duong province, set to be officially opened this month. It is LEGO’s first factory in the country and its first carbon-neutral facility worldwide, marking a major milestone in its global sustainability strategy.

Similarly, Pandora, one of the world’s largest jewelry brands, has invested $150 million to build a factory in Binh Duong that is expected to begin operations in 2026 and further expand Pandora’s presence in Vietnam while reinforcing Denmark’s growing investment in the country. These initiatives by leading Danish companies not only highlight Vietnam’s attractive investment environment but also position the country as a key destination for a wave of investment from Denmark and international businesses in general.

Mr. Michael Aastrup Jensen, Chairman of the Foreign Policy Committee in the Danish Parliament, affirmed that Vietnam and Denmark have a sustainable and strong partnership based on mutual respect and a shared commitment to multilateral cooperation and adherence to international law. “The two countries share common interests in ensuring peace and freedom of navigation, as well as promoting sustainable development in key sectors,” he emphasized.

Alongside investment, trade activities between Vietnam and Denmark have also seen encouraging results in recent times. According to data from the General Department of Vietnam Customs, total trade turnover between the two countries reached $676.34 million in 2024, an increase of 20.3 per cent year-on-year. This growth underscores the strengthening economic ties and expanding opportunities for cooperation across various sectors, marking a successful year for bilateral trade.

Mr. Jensen believes that one of the key factors sustaining the growth of both investment and trade between Denmark and Vietnam is the robust and multi-faceted cooperative relationship that has developed between the two countries over the years. This strong partnership spans a range of sectors, with a particular emphasis on sustainability and innovation. Since the establishment of the Green Strategic Partnership (GSP) between Vietnam and Denmark in 2023, there has been a marked increase in renewable energy projects and other initiatives aligned with Denmark’s green criteria in Vietnam.

Advancing energy transition

Vietnam has set a goal of achieving net-zero emissions by 2050 to mitigate the negative impacts of climate change, protect the environment, and promote sustainable development. To reach this goal, it must transition to clean energy sources, improve green infrastructure, and develop environmentally-friendly industries.

Meanwhile, Denmark is recognized as one of the leading countries in transitioning its economy from fossil fuel-based activities to renewable energy technologies, sustainable transportation, and green production processes. Therefore, cooperation with Denmark serves as a valuable foundation, helping Vietnam realize its vision of a green, equitable, and sustainable economy while also creating opportunities for knowledge exchange, technology transfer, and the development of renewable energy initiatives.

According to Deputy Minister of Industry and Trade Nguyen Hoang Long, Denmark has supported Vietnam through numerous renewable energy projects, providing advanced technologies, human resources training, and policy consultations on energy transition. This cooperation has helped Vietnamese businesses reduce costs, enhance production efficiency, and minimize environmental impacts. “Denmark is one of the most important partners in Vietnam’s energy transition process,” Deputy Minister Long emphasized.

A prime example of their cooperation in energy transition is the Vietnam-Denmark Energy Partnership Program (DEPP3) for the 2020-2025 period. Established between the governments of Vietnam and Denmark, the initiative receives official development assistance (ODA) funding from Denmark totaling $8.96 million and aims to promote energy transition efforts, reduce greenhouse gas emissions, and enhance energy efficiency in Vietnam’s industrial sectors.

Mr. Jorgen Hvid, Long-term Advisor with DEPP3, said the program is a key element of Denmark’s broader long-term strategy to collaborate with developing countries. Through initiatives like DEPP3, Denmark seeks to accelerate Vietnam’s energy transition, fostering a shift towards cleaner and more sustainable energy systems. “This cooperation not only brings technical benefits but also creates opportunities for Vietnam to develop effective energy policies,” Mr. Hvid added.

Vietnam is actively advancing its economic development, with a strong focus on building a green economy. In this context, deepening cooperation with international partners, particularly in the energy sector, is crucial. With its commitment to achieving net-zero emissions by 2050, Vietnam must prioritize sustainable and clean energy solutions. This transition presents both challenges and opportunities, allowing Vietnam to demonstrate its dedication to sustainable development.

Deputy Minister Long also emphasized that Vietnam is entering a new era of robust growth and development. With a target of posting double-digit economic growth from 2026 onwards, the energy sector will play a key role in driving progress. Strengthening partnerships with international counterparts, especially Denmark, in areas such as renewable energy and energy transition will be critical. “In the years to come, Vietnam and Denmark should deepen their collaboration on energy transition and increase the share of renewable energy in Vietnam’s national energy mix,” the Deputy Minister believes.

-Phương Hoa

Its inaugural flight took off from Hanoi on May 1 with over 130 passengers and landed in Bengaluru the same day.

Vietnam Airlines on May 1 launched a new direct flight route connecting Hanoi with Bengaluru - India’s leading tech hub, with four weekly round-trip flights.

Its inaugural flight, VN983, took off from Hanoi on May 1 with over 130 passengers and landed in Bengaluru the same day. The return leg, VN982, departed Bengaluru that night carrying more than 160 passengers, touching down in Hanoi at 5:25 am on May 2.

From  May 7, the airline will also connect Hanoi to Hyderabad, another key Indian tech centre, with three weekly round-trips.

Both routes use Airbus A321 aircraft.

With these additions, Vietnam Airlines now serves four major Indian cities - New Delhi, Mumbai, Bengaluru, and Hyderabad - through six direct routes. The expansion responds to rising demand for travel, fueled by growing trade, tourism, and cooperation between the two nations.

India is one of the world’s fastest-growing aviation markets, with a population of over 1.4 billion and a growing middle class. By connecting to tech hubs like Bengaluru and Hyderabad, Vietnam Airlines reaffirms its role in bridging Vietnam with South Asia, its Deputy General Director Dang Anh Tuan was quoted by the Vietnam News Agency as saying.

Since entering the Indian market, Vietnam Airlines has operated over 3,200 flights and served over 511,700 passengers. In 2024 alone, Vietnam welcomed over 500,000 Indian visitors, ranking India among its top 10 tourism markets.

-Vân Nguyễn

The updated list of commercial housing and urban development projects includes 15 projects expected to be completed after 2025.

The Hanoi People's Committee has updated the list of housing and urban development projects within the city's housing development plan for the period 2021-2025 (Phase 5).

According to the People's Committee, the updated list of commercial housing and urban development projects includes 15 projects expected to be completed after 2025, with a total housing floor area of 23,669,711 sq.m, providing 160,436 units.

Additionally, 200 projects are currently under investment proposals, with a total housing floor area of 21,557,650 sq.m and 142,214 units.

Regarding social housing development, five projects have adjusted information and are currently in preparation for investment in Thuong Tin district.

These projects are expected to be completed between Q1/2025 and Q4/2027, with a total estimated floor area of 94,039 sq.m, offering 1,545 apartments. Furthermore, 17 newly updated projects have been added, with specific details to be determined based on investment policies and competent authorities' decisions, amounting to 1,368,923 sq.m and 18,186 apartments.

The People's Committee has directed the departments of Finance, Agriculture and Environment, and Planning and Architecture, along with districts and towns, to review projects that have not yet been implemented, are incomplete, or delayed, and to advise and propose adjustments to the City People's Committee every three months.

-Hoàng Bách

The program will establish key foundations and strategic solutions to transforming the hi-tech park into a leading hub for science, technology, and innovation.

The People's Committee of Ho Chi Minh City has announced plans to implement the Science and Technology Development Program at the High-Tech Park for the period 2025-2030, beginning in 2025.

The initiative aims to strengthen scientific and technological capabilities, fostering innovation at the Saigon Hi-Tech Park (SHTP).

The program will establish key foundations and strategic solutions to support the sustainable development of SHTP, transforming it into a leading hub for science, technology, and innovation, as well as a highly interactive smart urban area in the city's eastern region.

Additionally, the program will enhance mechanisms and policies to promote research, development, and innovation in semiconductor integrated circuits, biotechnology, and dual transformation toward the Net Zero goal.

In 2025, specific objectives include: Completing the implementation plan for the Ho Chi Minh City Microchip Industry Development Program at the High-Tech Park for 2025-2030; developing the Biotechnology Development and Application Program at the High-Tech Park by 2030, with a vision to 2045; and finalizing the Dual Transformation Project, integrating Digital Transformation and Green Transformation, positioning the High-Tech Park as Vietnam’s first net-zero model.

For the 2025-2030 period, SHTP prioritizes the development of key technology sectors, including microelectronics, semiconductors, data centers and artificial intelligence (Data Center AI Factory), robotics and autonomous equipment (Autonomous), and biotechnology for human healthcare.

-Hồng Vinh

By 2030, the country’s commercial electricity consumption is expected to reach 500.4–557.8 billion kWh, rising to 1,237.7–1,375.1 billion kWh by 2050.

Vietnam will require an annual investment of around  $16–18 billion from now until 2035 to implement its revised National Power Development Plan (PDP VIII), the Vietnam News Agency quoted the Ministry of Industry and Trade as reporting on May 2.

This amount will rise to approximately $20 billion per year thereafter.

The updated PDPVIII, approved under Prime Ministerial Decision No. 768/QD-TTg, dated April 15, 2025,  outlines ambitious targets to ensure national energy security and meet economic growth demands.

The country aims to supply sufficient electricity to support average GDP growth of 10% per year between 2026 and 2030, and 7.5% per year from 2031 to 2050.

According to the updated PDPVIII, by 2030, Vietnam’s commercial electricity consumption is expected to reach 500.4–557.8 billion kWh, rising to 1,237.7–1,375.1 billion kWh by 2050. The total power generation and imports are projected at 560.4–624.6 billion kWh by 2030, with a 2050 forecast of 1,360.1–1,511.1 billion kWh.

Peak load capacity is forecast to hit 89,655–99,934MW by 2030 and 205,732–228,570MW by 2050.

The plan also places strong emphasis on reliability and resilience. It sets the goal of achieving N-1 reliability standards for critical load areas and N-2 for highly critical zones and nuclear power facilities by 2030.

N-1 means the power grid can handle the failure of one component without disruption, while N-2 ensures reliability even if two critical elements fail.

Vietnam is aiming to be among the top four ASEAN countries for electricity reliability and in the top three for ease of electricity access.

To support the plan’s rollout, Minister of Industry and Trade Nguyen Hong Dien has called on EVN and relevant agencies to review pricing regulations and adopt market-based electricity pricing mechanisms to attract investors. Local departments are tasked with updating local power projects in line with increased capacity projections in the revised PDP VIII.

The minister also urged stronger communication efforts to build public consensus around the plan and called for more frequent inspections of power generation and grid projects, to ensure timely implementation.

Authorities have been instructed to address project delays by replacing stalled developments with more feasible alternatives.

Vietnam is also pushing for increased rooftop solar adoption, aiming for 50% of office buildings and residential homes to use self-produced, self-consumed solar power by 2030 – without feeding back into the national grid.

-Phạm Long

The Vietnam Energy Forum 2025, co-held by Vietnam Economic Times / VnEconomy, heard from policymakers, industry insiders, representatives from associations, and international organizations on identifying solutions for Vietnam’s future energy development.

Mr. Nguyen Phan Dinh, Head of the Renewable Energy and Energy Efficiency Working Group under the Green Growth Sector Committee, EuroCham Vietnam

In line with the spirit of the revised National Power Development Plan VIII (PDP8) Vietnam will continue to promote the development of renewable energy, aiming for a share of 45 per cent (excluding hydropower) in the country’s total installed power capacity by 2030.

From the perspective of investors, this is a highly promising and attractive target. Based on current estimates, at least 400 wind power projects and 600 solar power projects are expected to be newly developed from now until 2030. This is quite an overwhelming figure to achieve within just five years.

To realize this goal, a clear legal framework is essential, along with strong guidance from State agencies to local authorities in cities and provinces. The goal should be to enable investors to focus solely on their investment activities without having to navigate complicated procedures and figuring out which steps come first and which follow.

Since the beginning of this year, the Prime Minister has issued three new decrees replacing previous ones that guided the implementation of the Law on Electricity. In 2024, the government issued Decree No. 80/2024/ND-CP on the direct power purchase mechanism, but its implementation encountered several obstacles.

Now, with Decree No. 57/2025/ND-CP, it reflects the spirit of collaboration between State authorities and businesses, creating opportunities for third party investors to develop rooftop solar projects within industrial parks and sell electricity directly to the enterprises operating in those parks.

With these newly-issued decrees, investors now find the legal environment much more transparent. However, one lingering concern is how to secure capital. The decrees stipulate that when investing in power projects, the investor’s charter capital must account for 30 per cent of the total, with the remaining 70 per cent allowed to be financed through bank loans. However, banks currently do not fully understand the mechanisms and models outlined in these new decrees.

Another concern lies in whether banks will reassess past investment projects and evaluate potential risks. In recent times, 173 renewable energy projects have faced difficulties related to the Feed-in Tariff (FIT) pricing mechanism, with delays in implementing FIT rates. Many of these projects are now under inspection. This situation is causing concern among investors and banks, as if new regulations or policy changes arise during the construction phase they could significantly impact project operations once they go online.

 

Mr. Pham Van Tan, Deputy Director General of the Department of Climate Change, Ministry of Agriculture and Environment

We advised the government in making the commitment to achieving net-zero emissions by 2050. This commitment, announced by the Prime Minister at COP26 in 2021, not only highlights Vietnam’s vast potential in wind and solar energy but also underscores the importance of international support and financial mechanisms under the Paris Agreement.

We have translated these commitments into detailed plans for each phase. The commitment is also reflected in Vietnam’s updated Nationally Determined Contribution (NDC), which was revised in 2022 and submitted to the United Nations with specific targets for 2030. These targets are also outlined in the National Power Development Plan VIII (PDP8). Accordingly, by 2030, Vietnam aims to reduce greenhouse gas emissions by 15 per cent compared to a business-as-usual scenario using domestic resources. With full international support, emissions reductions could reach up to 42 per cent. It is projected that Vietnam’s greenhouse gas emissions will continue rising until 2035. However, thanks to a just energy transition and with international support, we aim to peak emissions by 2030, after which they will gradually decline.

Currently, we are reviewing and preparing Vietnam’s new commitments for the 2026-2035 period while also assessing progress on existing commitments to 2025. However, our preliminary assessment indicates that only about 40-50 per cent of the committed measures have been implemented. The remainder are still under evaluation, and it may take another month before we obtain concrete results. Given the current situation, there is a high risk that Vietnam may not achieve its net-zero emissions target by 2050. If the final assessment confirms this, we will have to report to the government on the likelihood of failing to meet the commitment under the current approach, prompting the need for adjustments.

While we have the right policies in place for reducing greenhouse gas emissions, implementation remains challenging, and progress is slow. Meanwhile, the energy sector must support economic growth targets of 8 per cent in 2025 and over 10 per cent annually during 2026-2030. This will drive up energy consumption and emissions. Vietnam can achieve low-emission targets but maintaining high economic growth is a major challenge, and we hope for collective efforts to realize this goal. We aspire for Vietnam’s greenhouse gas emissions to decline faster than in a business-as-usual scenario. To achieve this, we must rapidly expand solar power, wind power, and nuclear energy.

 

Associate Professor Pham Hoang Luong, Vice President of the Vietnam Clean Energy Association

How can we achieve an energy transition while ensuring economic development, keeping energy costs manageable, and meeting environmental criteria? This is a major question that many countries worldwide are striving to address. In reality, the energy transition has been outlined through clear directions, such as increasing the share of renewable energy and promoting energy efficiency. The goal is to reduce energy intensity and emissions intensity per unit of product or per dollar in GDP.

However, Vietnam still faces many challenges in developing new energy sources, such as green hydrogen and green ammonia, as well as carbon capture and utilization. These technologies currently encounter significant cost barriers. Therefore, we need to adjust our strategy from now to 2030, clearly identifying necessary actions to develop sustainable energy sources.

The adjustment of the National Power Development Plan VIII (PDP8) emphasizes the importance of ensuring a stable baseload energy supply. The energy transition must guarantee supply stability while keeping energy costs at reasonable levels so that businesses and the public can afford them.

Nuclear power, with its robust technology, will play a crucial role in the future. However, until 2050, we still need to maintain other baseload energy sources such as coal and gas-fired power plants. These must be used more efficiently, with investments in emissions reduction technologies for coal power plants. It is essential to apply new technologies to reduce emissions from coal-fired power plants and explore fuel conversion solutions, such as co-firing ammonia. However, this transition may only be feasible after 2035-2040.

The Prime Minister has also directed the development of the Law on Economical and Efficient Energy Use, assigning the Ministry of Industry and Trade to review and revise the law to comprehensively cover all aspects, from power generation, transmission, and distribution to consumption and pricing.

Regarding end-users, this remains a significant bottleneck. Businesses must consider energy consumption indicators as critical technical metrics. The revised Law on Energy Efficiency, expected to be passed in May, will propose establishing a fund for energy efficiency initiatives.

Previously, our focus was limited to simple measures such as turning off lights or optimizing operations. However, reducing energy costs per unit of production must go hand-in-hand with technological transformation, which requires investment. This law will include provisions for an investment fund dedicated to energy efficiency. More importantly, we must build public awareness and encourage investment in energy-saving technologies to ensure a successful energy transition.

 

Mr. Dang Huy Dong, President of the Planning and Development Institute

The total investment required for energy development under the adjusted draft of the National Power Development Plan VIII (PDP8) amounts to $136 billion. If we rely on domestic capital sources, including all commercial banks and major enterprises, we can only secure about 30 per cent due to certain limitations. This means that out of the $136 billion, we need to mobilize approximately $70-80 billion from external sources.

We have discussed technical aspects extensively. However, all technical and technological solutions are already available globally, even for complex technologies such as nuclear energy, with multiple suppliers. The real challenge in attracting investment lies in the fact that investors can only cover a maximum of 30 per cent in equity capital, while the remaining 70 per cent of the $70-80 billion must be raised from financial institutions and global capital markets.

If international financial institutions are not satisfied with the risk-sharing mechanisms in place, the prospect of securing sufficient investment will be beyond the control of both the host country and investors. Whether we can obtain the remaining $50-60 billion depends entirely on our ability to meet these institutions’ risk-sharing requirements.

The purpose of foreign exchange reserves is to ensure the stability of essential goods for the economy, and electricity is an essential good. However, for the past five or six years, this issue has remained unresolved. The two recent decrees did not address this matter at all. Furthermore, we must ensure payment security for investors and loan providers so they can recover their funds. If at any point the sole electricity buyer, Vietnam Electricity (EVN, a State-owned enterprise), fails to make payments for any reason, there must be a backup payer. Otherwise, investors will go bankrupt.

These risks are not created by investors but are precautionary measures. If State management is effective and policies are well-designed, these risks will not materialize, meaning we will not have to fulfill such commitments. This has been demonstrated in past build-operate-transfer (BOT) projects, such as coal-fired power plants in southern Dong Nai province, where, after 25 years, the government has never been called on to honor its commitments. In essence, these guarantees serve as a safeguard.

I sincerely hope we can fully reflect that the government and the leadership of the Party must provide clear guidance.

 

Ms. Virginia Foote, Vice Chair of AmCham Hanoi, Board Member of the Vietnam Business Forum and the Power and Energy Working Group

Compared to the current National Power Development Plan VIII (PDP8), the high-demand scenario proposed in the draft revision, published for public consultation in early February, requires a greater volume of investment capital for the period from now to 2030.

The Power and Energy Working Group under the Vietnam Business Forum, which represents 14 foreign business associations in Vietnam, fully supports the increase in solar power capacity. This expansion is not only aimed at serving self-generation and self-consumption needs but also at enabling large electricity consumers to participate in the Direct Power Purchase Agreement (DPPA) mechanism. Short-term solutions like these are essential to supplement generation capacity near consumption points and reduce grid congestion.

During consultations with the Ministry of Industry and Trade and the government while developing the draft decree on the DPPA mechanism, we expressed our support for the early issuance of the decree. We also emphasized the need for continued collaboration between businesses and regulators during its implementation to address any emerging issues in a timely manner.

We appreciate that stakeholder feedback was taken into consideration in the newly-issued Decree No. 57/2025/ND-CP on the DPPA mechanism. Moving forward, we will continue to monitor its implementation and support the Ministry of Industry and Trade in executing four additional decrees recently promulgated to guide the implementation of the Law on Electricity 2024.

Vietnam’s energy transition is entering a pivotal phase, and the recent progress in the regulatory framework marks a significant step forward. The foreign business community remains committed to supporting Vietnam in achieving its energy goals: working towards stable, sustainable, and affordable electricity supply.

Reducing risks and uncertainty in the eyes of investors by providing a clear roadmap for market access and ensuring investment stability will encourage greater capital inflows into the economy.

To realize this ambition, we must continue to promote dialogue, improve policy, and ensure effective enforcement. All development sectors depend on energy, and through close collaboration between the government, the business community, and stakeholders, we can build a resilient power sector that is future-ready and delivers benefits to all.

 

Mr. Ta Dinh Thi, Vice Chairman of the National Assembly Committee on Science, Technology and Environment

In 2023, the National Assembly’s Standing Committee conducted a thematic supervision on the implementation of policies and laws for energy development during the 2016-2021 period.
As a result, the Standing Committee issued Resolution No. 937/NQ-UBTVQH15, which clarified the difficulties, bottlenecks, and shortcomings, identified their causes and responsible parties, and proposed solutions for the focused development of energy in the upcoming phase. These solutions primarily target policy areas and highlight tasks to be completed by 2025, extending to the period up to 2030 and with a long-term vision to 2045.

In 2024, the National Assembly passed the amended Law on Electricity, which includes numerous advancements and stipulates new policy directions, especially in power development planning. The law dedicates an entire chapter to the development of renewable and new energy sources, including offshore wind power and nuclear energy policy.

On November 25, 2024, the 13th Party Central Committee’s Plenum reached a consensus to revive the Ninh Thuan Nuclear Power Project.

On November 30, 2024, the 15th National Assembly approved a resolution at its 8th session that endorsed the project’s resumption. At a recent extra-ordinary session, the legislature also passed a resolution introducing several special mechanisms and policies to facilitate the construction of the Ninh Thuan plant, many of which are aimed at shortening the project implementation timeline.

Nuclear power holds several important aspects, serving as a baseload power source enabling Vietnam to further develop renewable energy. It is also a clean energy source that helps reduce emissions. The development of nuclear energy will lay the scientific and technological foundation for Vietnam to step into a “New era - The era of the nation’s rise”.

In my view, there are a few key areas we must focus on moving forward.

First, the Politburo is currently directing the five-year review of the implementation of Resolution No. 55-NQ/TW on Vietnam’s national energy development strategy orientation to 2030, with a vision to 2045. This review will be crucial for identifying new directions and strategic adjustments for the next phase and the new era.

Second, in the upcoming 9th session, the National Assembly will consider several laws directly related to energy, such as the amended Law on Atomic Energy. A key element of this draft is to accelerate the construction of the Ninh Thuan Nuclear Power Plant.

In addition, the amended Law on Economical and Efficient Use of Energy will include policies that encourage green energy development and promote energy-saving and efficiency measures.

Furthermore, the Law on Science, Technology, and Innovation will also be presented for feedback at the 9th session. This law is among the legislative tools to implement Resolution No. 57-NQ/TW of the Politburo, which calls for breakthroughs in science, technology, innovation, and national digital transformation. Its enactment is expected to create a new legal framework to encourage innovation, develop emerging technologies, and steer the country towards sustainable development.

The National Assembly is also overseeing a supreme audit of the implementation of environmental protection policies and laws since the Law on Environmental Protection 2020 came into effect. It is evident that we are now focusing on adjusting our legal and policy frameworks. Alongside the Law on Electricity, several decrees and circulars to guide its implementation are being issued.

At the same time, we must review and update planning and development strategies. The National Power Development Plan VIII (PDP8) is currently under consideration for revision. It is also essential to further refine policies that encourage private sector investment in the energy sector.

 

Mr. Hong Sun, Honorary Chairman of the Korean Chamber of Commerce in Vietnam (KOCHAM)

I have been involved in the process of building nuclear power plants since 2000. At that time, South Korea’s goal was to participate in the global nuclear power market starting in 2012. In 2009, the President of South Korea worked directly with leaders in the United Arab Emirates (UAE). At that time, it was agreed that South Korea would build power plants in the UAE. The project broke ground in late 2011, and the first reactor, with a capacity of 1,400 MW, was delivered in 2018.

To date, all four reactors have been put into operation, with a total capacity of 5,600 MW. This is nearly equivalent to the target capacity of 6,000 to 6,400 MW that Vietnam has set in the revised PDP8. A country traditionally known for exporting oil has chosen to build nuclear power plants, which demonstrates that this is a modern and safe technology. South Korean companies highly appreciate the determination of Vietnam’s leadership to develop nuclear energy.

At COP26 in 2021, Prime Minister Pham Minh Chinh committed that Vietnam would achieve net-zero emissions by 2050. It will be extremely difficult for Vietnam to meet this goal without investing in the development of nuclear power. Additionally, high-tech industries such as semiconductors and AI, which Vietnam aims to focus on, are energy-intensive sectors that require Vietnam to significantly increase its electricity generation capacity.

Although the decision to build nuclear power plants was made a bit late, choosing the right partners will help Vietnam achieve its nuclear energy development goals. If selected, South Korean companies are ready and very confident that they can help Vietnam develop its nuclear power sector at reasonable costs and with high reliability. In 2024, South Korea signed a cooperation agreement with the Czech Republic to build two nuclear power plants similar to those built in the UAE.

In both quantity and quality, South Korean investors are leading the way in Vietnam. South Korea is fully prepared and will cooperate comprehensively with Vietnam on energy development, including nuclear energy. This cooperation, including the sale of equipment for nuclear power plant construction, will significantly enhance energy cooperation between the two countries, ensuring that this relationship will endure in the future. As in the UAE, the contract for the construction, operation, and handling of nuclear fuel with South Korea could last up to 100 years. Cooperation in the nuclear sector can help sustain the relationship between the two countries for many decades.

In addition to nuclear power, South Korean investors are also very interested in investing in the development of other renewable energy sources in Vietnam, such as solar power, rooftop solar, and wind power. In particular, the gas power sector is a field that South Korea is very interested in and is in the process of applying for permits to invest in Vietnam.

However, when investing in Vietnam’s renewable energy sector, foreign investors, including those from South Korea, are concerned about the profitability of the projects. Since each energy project requires billions of USD in investment, companies need financial support through government guarantees. Though the Vietnamese Government has made efforts to support foreign investors in this regard, South Korean companies hope this support will be expanded and applied in a timely manner.

 

Mr. Stuart Livesey, CEO of Copenhagen Offshore Partners, Representative of Copenhagen Infrastructure Partners, Member of the Offshore Wind Task Force of the Vietnam Energy Partnership Group

Vietnam has made significant and positive strides forward over the past 12 months by issuing and passing laws, regulations, and mechanisms to develop the domestic energy sector. Notably, the amended Law on Electricity was passed in November 2024, and several other decrees are being implemented this year. These regulations will provide a foundation for the development of Vietnam’s energy sector in the future, including renewable energy, by ensuring confidence among investors, energy project developers, and electricity suppliers.

Investment in the energy sector always carries risks, but it is crucial that these risks are shared between investors, who have committed substantial capital to projects, and the government. In addition to sharing risks, both parties must also take responsibility for implementing measures to mitigate risks for energy projects.

Having established the foundational regulations, we now need to focus on applying these regulations to improve efficiency and address bottlenecks in the licensing, investment funding, construction, and implementation of energy projects in Vietnam.

Vietnam also needs to fully prepare its electricity grid infrastructure to support energy projects that have been and will be deployed. Robust and stable infrastructure would provide reassurance to investors, convincing them to invest in energy projects in Vietnam.

In addition to preparing the foundation for power projects, Vietnam also needs to pass reasonable mechanisms to ensure that electricity producers can generate profits from their operations. One important regulation to serve this purpose is the Direct Power Purchase Agreement (DPPA) mechanism. Under this mechanism, the direct electricity trading between renewable energy producers and consumers through dedicated lines is clearly defined, enhancing business trust for electricity producers.

However, indirect electricity trading through the Vietnam Electricity (EVN) grid, when producers and consumers are far apart, still presents many issues that cause concerns for both buyers and sellers. Producers, when wanting to sell electricity indirectly through EVN’s grid to consumers, are still required to sign power purchase agreements with EVN. Moreover, EVN cannot guarantee that it can accept and transmit electricity from renewable energy producers.

Additionally, electricity trading through the EVN grid also faces bottlenecks in payment processes, contract negotiations, contract termination, and more. Though EVN has the right to charge transmission fees for electricity producers, this agreement must ensure that renewable energy investors can achieve profitability from their projects.

 

Mr. Chandan Singh, Country Managing Director, Vietnam, at Hitachi Energy

From the early stages of developing renewable energy sources like wind and solar, the inability of the power grid to transmit energy from new projects has been a challenging issue for Vietnam.

Recently, Prime Minister Pham Minh Chinh attended the breaking ground ceremony for the 500kV Lao Cai - Vinh Yen transmission line and asked that this project be completed within the year. Though Vietnam is continuously building and commissioning high-voltage transmission lines, transmitting electricity from renewable energy projects still faces difficulties.

Vietnam is developing its energy model in the right direction, using nuclear power as a foundation, supplemented by renewable energy. From the perspective of a global equipment supplier, Hitachi Energy believes that Vietnam will face challenges because the timeframe for implementing these projects, according to the government’s plans, is too short.

Therefore, if Vietnam wants to significantly increase wind and solar power capacity in the years ahead, investment decisions for infrastructure must be made as soon as possible. Unlike the electricity grid in other countries that are transitioning to renewable energy, Vietnam lacks specialized equipment to mitigate the instability of renewable energy, energy storage facilities, and proper grid connectivity for energy trading activities.

Though Vietnam is building transmission lines for energy trade with Laos and China, the investment process for this infrastructure needs to be accelerated. The government’s decision to invest nearly $15 billion in the power grid over the next five years will help facilitate this process.

-Vietnam Economic Times

The central province attracts 5.2 million tourists in the period.

Central Thanh Hoa province posted total tourism revenue of VND8.39 trillion ($320 million) in the first four months of the year, up 13.9% year-on-year, according to the provincial Department of Culture, Sports and Tourism.

The province welcomed over 5.2 million tourists in the period.

The growth is attributed to the province’s efforts in improving tourism infrastructure and operation of new tourism attractions such as water parks, walking streets and a cultural space.

In order to attract more tourists, the province plans to organize 150 cultural, sports and tourism events this year; develop more tourism products; and accelerate the implementation of tourism projects.  

 

-Nguyễn Thuấn

The hub directly displays and operates a complete core 4.0 technology ecosystem mastered by Vietnamese people.

The CT Group Innovation Hub, belonging to the CT Group, was inaugurated at 20 Truong Dinh, Ho Chi Minh City, on April 29.

Accordingly, the CT Innovation Hub, together with the 4.0 Generation Innovation Center Alliance (IHA), connects more than 60 domestic innovation centers and over 100 international ones. This network will not only facilitate technology transfer but also expand the flow of knowledge and share resources between Vietnam and the world.

Furthermore, the CT Innovation Hub does not simulate theories or showcase imported technologies but directly displays and operates a complete core 4.0 technology ecosystem mastered by Vietnamese people.

At the CT Innovation Hub, students, scientists, and businesses can witness firsthand unmanned aerial vehicles (UAVs), self-developed AI products, models of semiconductor factories, 4.0 foldable houses, ESG (environmental, social, governance) technologies serving sustainable economics, and breakthrough research in the fields of gene and cell technology.

Simultaneously, the establishment of the CT Innovation Hub also lays the foundation for creating a wave of practical innovation, 4.0-style innovation among young people, attracting talented Vietnamese individuals worldwide to return their homeland and contribute to the national development.

"Innovation must be realized through practical, specific, and effective actions. We aspire to join hands with the Government, agencies, departments, the business community, and intellectuals both domestically and internationally to build a strong innovation ecosystem that contributes to sustainable socio-economic development. The CT Innovation Hub aims to create an environment that encourages the 4.0 generation to constantly innovate, create, and contribute," said Mr. Tran Kim Chung, Chairman of CT Group.

-Phạm Vinh

The Centre for Economic and Business Research (CEBR) forecasts that Vietnam will become the second-largest economy in Southeast Asia after Indonesia and the 20th-largest economy in the world by 2036.

The Centre for Economic and Business Research (CEBR) was quoted by the Vietnam News Agency as forecasting that Vietnam will become the second-largest economy in Southeast Asia after Indonesia and the 20th-largest economy in the world by 2036.

According to the CEBR’s report titled “World Economic League Table 2022”, as of 2021, Vietnam was estimated to have a purchasing power parity adjusted GDP per capita of $11,608 .

It said Vietnam's economic growth story has been nothing short of a miracle, with the Doi Moi (Renovation) reform in the mid-1980's, coupled with favorable global trends, enabling the nation to achieve rapid economic growth and propelling the country from a poor country to a lower-middle-class country.

Vietnam aspires to attain a high-income status by 2045. For this to happen, it must grow at an annual average rate of approximately 5 % per capita. Nonetheless, it faces key challenges on its path to becoming a high-income country. With global trade declining and its population ageing, it needs to improve its policy implementation performance drastically, particularly in sectors that will be severely affected by automation and climate change.

Between 2021 and 2036, CEBR forecasts that the position of Vietnam in the World Economic League Table will improve considerably, with its ranking rising from 41st to 20th by 2036.

-Vân Nguyễn

In an official dispatch signed on April 30, Prime Minister Pham Minh Chinh asked the Minister of Construction to set the stage for the project’s groundbreaking on December 19, 2025.

Prime Minister Pham Minh Chinh signed an official dispatch on April 30 to accelerate the implementation of the Lao Cai - Hanoi - Hai Phong railway project which is scheduled to break ground on December 19, 2025.

The official dispatch has been sent to the Ministers of Construction, Foreign Affairs, Agriculture and Environment, and Finance, Secretaries of the provincial/municipal Party Committees and Chairpersons of the provincial/municipal People’s Committees of Hanoi, Lao Cai, Yen Bai, Phu Tho, Vinh Phuc, Bac Ninh, Hung Yen, Hai Duong, and Hai Phong, through which the projected railway will run

In the dispatch, the PM asked the Minister of Construction to work closely with local authorities to hasten land clearance, compensation, resettlement, site surveys, and the drafting of a feasibility study, which must be completed by June 2025, setting the stage for the project's groundbreaking on December 19, 2025.

The minister was also required to promptly finalize the National Assembly's draft resolution on special mechanisms and policies to support railway development. The draft must be reported to the Government by May 5, then submitted to the upcoming 9th meeting of the National Assembly for review.

The Chairpersons of the above provincial/municipal People’s Committees must urgently establish local steering committees for land clearance by May 5. These committees, led by the respective Secretaries of the provincial/municipal Party Committees, will oversee the completion of compensation, resettlement, and the feasibility study by August 2025.

Other specific tasks were assigned to relevant ministers and localities to support the project’s progress. Deputy Prime Minister Tran Hong Ha will directly oversee the project and address any arising obstacles.

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