On December 11, 2025, the National Assembly promulgated the Law on Investment 2025, which takes effect from March 1, 2026 and replaces the Law on Investment 2020. The Law on Investment 2025 is enacted with the expectation of improving the legal framework governing investment, promptly addressing difficulties and obstacles faced by domestic and foreign investors, at the same time reducing and simplifying a number of investment and business procedures to facilitate individuals and enterprises. Below are specific analyses of this Law’s key highlights that investors should take into account:

(i) The Law on Investment 2025 strengthens the decentralization and delegation of authority in investment policy approval;
(ii) The Law on Investment 2025 expands the application scope of the special investment procedure;
(iii) The Law on Investment 2025 providesg greater flexibility for foreign investors in establishing economic organizations to implement investment projects
(iv) The Law on Investment 2025 reduces the number of conditional business lines;
(v) The Law on Investment 2025 supplements the provisions allowing not to count some delays in project implementation or operation toward the project timeline and operational term;
(vi) The Law on Investment 2025 supplements the provisions on the project term in cases of investment project transfer where the remaining project duration does not satisfy the transferee’s financial or investment plan.