Resolution 198/2025/QH15: Quietly Recrafting Vietnam’s Private Economy
In May 2025, Vietnam’s National Assembly adopted Resolution 198/2025/QH15, formalising a reform agenda with profound implications for the private sector. Though understated in public debate, its significance for enterprise leaders is considerable.
A Legislative Response to Strategic Direction
Earlier that month, Resolution 68NQ/TW was issued by the Politburo, reasserting the central role of the private economy in Vietnam’s long-term development. The document marked a philosophical and political shift: from cautious support to active empowerment. With Resolution 198, this vision took legal form.
The resolution provides a combination of tax incentives, financial support, and procedural simplifications: from corporate income tax exemptions for new businesses, to reduced personal income tax for talent in innovative sectors, to interest subsidies for environmentally aligned projects. A core component is regulatory relief – moving away from excessive inspections and punitive enforcement towards supportive supervision and simplified licensing processes.
To fully benefit from this transition, businesses must understand more than the general intent. They need precise implementation guidance. It is in this space that firms like VIET Transformation Advisors have become quietly indispensable – assisting senior management teams in adjusting business timelines, organisational structures, and regulatory strategies to meet the new eligibility requirements. J – k