The Law on Investment 2020 clearly defines the authority responsible for approving investment policies and making adjustments to investment projects for Foreign Direct Investment (FDI) enterprises in Vietnam. When an FDI enterprise needs to amend an approved investment project, it must submit a request to the original approving authority for review and decision-making. DNP Vietnam provides essential information for investors planning to enter the Vietnamese market.
1. Do FDI projects in Vietnam require investment policy approval?
Not all foreign investment projects in Vietnam are required to go through investment policy approval procedures. However, only projects that fall under specific cases outlined in the Law on Investment 2020 must undergo this process.
Specifically, foreign investment projects covered in Articles 30, 31, and 32 of the Law on Investment 2020 are obligated to obtain investment policy approval.
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2. Authority for Approving Investment Policies
| Project Type | Scale/Condition | Approving Authority |
| Nuclear power plants | National Assembly | |
| Land use conversion of special-use forests, upstream protection forests, border protection forests | ≥ 50 hectares | National Assembly |
| Land use conversion of forests for wind/sand shielding, sea encroachment protection | ≥ 500 hectares | National Assembly |
| Land use conversion of production forests | ≥ 1,000 hectares | National Assembly |
| Conversion of wet rice cultivation land (two crops/year) | ≥ 500 hectares | National Assembly |
| Resettlement projects | ≥ 20,000 people (mountainous areas); ≥ 50,000 people (other regions) | National Assembly |
| ≥ 10,000 people (mountainous areas); ≥ 20,000 people (other regions) | Prime Minister | |
| Projects within national heritage or special national heritage zones | Regardless of scale | National Assembly |
| Projects requiring special mechanisms or policies to be decided by the National Assembly | National Assembly | |
| FDI projects in telecom with network infrastructure, forestry, publishing, journalism | Prime Minister | |
| Housing and urban development projects | ≥ 300 hectares or ≥ 50,000 people | Prime Minister |
| Projects requiring approval from two or more provincial People’s Committees | Prime Minister | |
| Other projects under the Prime Minister’s authority | As prescribed | Prime Minister |
| Projects not under National Assembly or Prime Minister’s authority | Provincial People’s Committee | |
| Projects in industrial parks, export processing zones, hi-tech zones, economic zones under approved plans | Management Boards of the respective zones |
3. Authority for Adjusting Investment Projects
3.1 Definition
According to Article 41 of the Law on Investment 2020, “adjustment of an investment project” refers to the process in which the investor or competent authority modifies registered or approved contents of an investment project to align with actual needs or legal requirements. Specifically, this adjustment ensures that the project complies with both practical demands and legal standards.
3.2 Competent Authorities for Adjustment
| Competent Authority | Applicable Projects |
| National Assembly | Projects initially approved by the National Assembly (Article 30, Investment Law 2020) |
| Prime Minister | Projects initially approved by the Prime Minister (Article 31, Investment Law 2020) |
| Provincial People’s Committee | Projects initially approved by the Provincial People’s Committee (Article 32, Investment Law 2020) |
| Department of Planning and Investment or Zone Management Boards | Projects not subject to investment policy decision; the authority that issued the Investment Registration Certificate is responsible for adjustment |
The information above is for reference only. If you require further details, please contact us using the information below.
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