Government issues resolution on improving business climate in 2026

Government issues resolution on improving business climate in 2026

Prime Minister Phạm Minh Chính has signed Resolution 02/NĐ-CP outlining key tasks and solutions to improve the business environment and boost national competitiveness in 2026, with a strong focus on institutional reform, cutting business prerequisites and accelerating administrative overhaul.

Production at a foreign-invested company in Quảng Ngãi Province. Prime Minister Phạm Minh Chính has signed Resolution 02/NĐ-CP outlining key tasks and solutions to improve the business environment and boost national competitiveness in 2026. — VNA/VNS Photo Hoàng Hiếu

The resolution, which comes amid volatile global conditions, rising fragmentation and protectionism as well as a rapid global supply chain shift, is considered a bold move to create new momentum for the business community in the new era.

The Government said Việt Nam’s investment climate continued to improve markedly in 2025 with progress in administrative reform, digital transformation and e-government helping raise the country’s standing and credibility internationally.

However, persistent challenges exist, including slow progress in some sustainable development indicators, difficulties in access to capital, land and infrastructure, and a still-weak support ecosystem for businesses, especially innovative start-ups.

In this context, decisive action is critical to remove institutional barriers and ensure a fair, transparent playing field for all economic sectors, the resolution said.

The resolution underscores the need for a shift from a control-oriented management mindset to a facilitative, service-oriented approach, in which citizens and businesses will be placed at the centre.

The Government also aims to further align the legal framework with international practices, ensuring transparency, stability and low compliance costs, while promoting decentralisation along with stronger oversight, accountability of leaders and tighter discipline to combat corruption and waste.

Targets have been set for higher rankings in major global indices in 2026, including placing Việt Nam among the world’s top 50 countries in the Sustainable Development Goals, improving the property rights index by at least three places, the Global Innovation Index by at least one place and the e-Government Development Index by at least two places.

Logistics performance and tourism development competitiveness are expected to rise by four places or more, while domestic indicators such as the Provincial Competitiveness Index, Public Administration Reform Index and Satisfaction Index of Public Administration Services are also set to improve.

The resolution also aims to foster healthy competition and market dynamism, with the number of newly established and re-entering businesses in 2026 targeted to rise by 15–20 per cent from 2025.

To achieve these goals, focus will be placed on hastening further institutional reform, removal of unnecessary business conditions, speeding up administrative simplification and prioritising access to capital, land, infrastructure and skilled workers.

The PM ordered ministers and provincial leaders to treat the resolution as a top priority. By January 20, 2026, all agencies must issue concrete action plans to implement the resolution. 

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