The Decree consists of 7 chapters and 82 articles regulating the provision and management of non-refundable aid from Vietnam to aid recipients under the aid disbursement tasks of the central budget and local budgets as prescribed in the State Budget Law No. 83/2015/QH13, the Law amending and supplementing a number of articles of the Securities Law, the Accounting Law, the Independent Audit Law, the State Budget Law, the Law on Management and Use of Public Assets, the Tax Administration Law, the Personal Income Tax Law, the National Reserve Law, the Law on Handling of Administrative Violations No. 56/2024/QH15 and the State Budget Law No. 89/2025/QH15. The subjects of application of the Decree are agencies, organizations and individuals participating in or related to the provision, implementation and management of aid from Vietnam to aid recipients.
This Decree does not regulate annual fees, voluntary contributions, obligations or annual fees of Vietnam to international and regional cooperation organizations, frameworks and forums of which Vietnam is a member; and foreign aid in the fields of defense and security.
The Decree stipulates 5 forms of aid including: Construction investment; technical assistance; provision of goods; cash aid; other forms as decided by the Prime Minister . Aid methods are through programs; projects; or non-projects.
Principles of providing and managing foreign aid
According to the Decree, foreign aid is aimed at implementing Vietnam's foreign policy and is part of the state budget expenditure estimate, managed by the Government on the basis of publicity and transparency, ensuring close coordination and promoting the initiative of relevant organizations, agencies, units and individuals. It must be consistent with Vietnam's foreign policies, guidelines, Constitution and laws, international treaties to which Vietnam is a member, priorities of the aid recipient; goals, benefits, ability to balance resources, budget, implementation capacity, and actual conditions of Vietnam and the aid recipient.
The provision and management of foreign aid shall be carried out in accordance with relevant provisions of Vietnamese law and international treaties to which Vietnam is a member. In case an international treaty to which the Socialist Republic of Vietnam is a member has provisions different from those of this Decree, the provisions of that international treaty shall apply.
Prioritize Vietnam to directly implement and transfer results to the aid recipient; use Vietnamese goods, services, techniques, human resources and contractors. The use of foreign goods, services, techniques, human resources and contractors is only applied in cases where Vietnam cannot meet the requirements or to ensure effectiveness and safety in terms of politics - diplomacy, national defense - security, economy - society and people.
Ensure focus, synchronization, quality, savings, efficiency and prevention of corruption, loss, waste and negativity in providing and managing Vietnam's aid to foreign countries.
The aid recipient is responsible for paying taxes, fees, and charges related to goods, services, aid activities, and compensation, site clearance, and resettlement support costs of programs, projects, and non-projects implemented in the territory and locality of the aid recipient, except in cases where the Vietnamese side agrees to pay.
The aid budget of each year is used in that year. The transfer of resources and extension of the aid budget to the next year must comply with the legal regulations on budget management of Vietnam.
For aid using local provincial budgets, the following additional requirements must be met:
Provinces and centrally run cities are allowed to use their provincial-level local budgets to provide aid to localities that have foreign cooperation agreements (except in cases of emergency aid) and are not within the scope of international cooperation agreements between the Government of the Socialist Republic of Vietnam and foreign governments.
The total aid level of Vietnamese localities to foreign localities in a year must not exceed 10% of the provincial-level local budget reserve.
Aid contents include: Investment implementation in the area; support for socio-economic development activities; overcoming consequences of natural disasters, catastrophes, and serious epidemics.
Aid implementation methods
The Decree stipulates the method of aid implementation as follows:
1. The Vietnamese side directly implements the program, project, non-project and transfers the results to the aid recipient.
2. The Vietnamese side transfers money to the aid recipient to carry out the project or non-project itself.
3. The application of the method of transferring money from the central budget to the aid recipient to self-implement as prescribed in Clause 2 above must be approved by the competent authority at the step of approving the list of Aid Proposal Reports or stated in the international treaty or aid agreement with the aid recipient.
Conditions for projects and non-projects to apply the method of transferring money to aid recipients:
a) Vietnam does not have sufficient conditions to directly implement the project or non-project to ensure quality, efficiency and safety.
b) Non-project aid in cash or interest rate differential compensation.
Authority to decide on aid policy
According to the Decree, the Prime Minister decides on the policy of aid using the central budget in the following cases:
a1) Program;
b1) Projects and non-projects with aid scale of 500 billion VND or more;
c1) Other cases decided by the Prime Minister.
The Decree stipulates cases that do not have to follow the procedures for deciding on aid policies, including:
a2) Projects and non-projects under programs for which the Prime Minister has decided on aid policies;
b2) Non-project training according to annual plan;
c2) Aid using local budgets;
d2) Cases not specified in points a1, b1, c1 and points a2, b2, c2 above.
Procedures for deciding on aid policies
The Decree stipulates the order and procedures for deciding on aid policies as follows:
Based on the List of Aid Proposal Reports approved by the Prime Minister; the contents stated in international treaties, aid agreements or minutes of meetings of the Joint Committee, Intergovernmental Committee, meetings of Party, State, National Assembly and Government leaders with the aid recipient and the actual situation, the competent authority shall preside over and coordinate with the aid recipient to prepare the Aid Policy Report and send it to the Ministry of Finance. The Ministry of Finance shall preside over the appraisal based on written opinions from the Ministry of Foreign Affairs and relevant agencies or organize an appraisal meeting.
Based on the appraisal results, the competent authority completes the Aid Policy Report and sends it to the Ministry of Finance. The Ministry of Finance submits to the Prime Minister the appraisal results report and the Aid Policy Report. The Prime Minister reviews and decides on the aid policy.
Documents, contents and appraisal time of Aid Policy Report
1. The appraisal dossier includes: Request document of the competent authority; aid policy report according to the form prescribed in Appendix II of this Decree; other relevant documents (if any).
2. Number of appraisal dossiers sent to the Ministry of Finance: 10 sets.
3. Contents of the appraisal of the Aid Policy Report:
a) Necessity, non-duplication and appropriateness of benefits for Vietnam and the aid recipient;
b) Assess the socio-economic, trade-investment, defense, security, cultural, sustainable development, and political and diplomatic relations between Vietnam and the aid recipient;
c) Compliance with international treaties, aid agreements (if any), policies and legal regulations of Vietnam and policies, strategies, planning, development plans and legal regulations of the aid recipient;
d) Feasibility in terms of method, scale, scope; location, time; solutions, applied technology; environmental impact; management and implementation capacity of relevant agencies and units of Vietnam and the aid recipient;
d) The ability to balance and arrange budget and resources of Vietnam and the aid recipient;
e) Method of aid implementation;
g) Risks that may arise, contents to be noted due to the characteristics of the aid recipient and solutions to handle them;
h) Sustainability and ability to continue to promote the effectiveness and efficiency of the aid after completion;
i) Preparatory activities and additional aid planning (if any);
k) Other necessary contents (if necessary).
Time for appraisal and submission to the Prime Minister for consideration of the Aid Policy Report: Within 30 days from the date of receipt of a complete and valid dossier. In case the dossier is invalid or the content of the Aid Policy Report is inconsistent with the provisions in Clause 3 above, the Ministry of Finance shall provide written comments requesting the competent authority to complete the content of the Aid Policy Report within 05 working days.
Updated on November 26, 2025
Source: https://laichau.gov.vn/tin-tuc-su-kien/chuyen-de/tin-trong-nuoc/quy-dinh-ve-tham-quyen-trinh-tu-thu-tuc-quyet-dinh-chu-truong-vien-tro-cua-viet-nam-cho-nuoc-ngoai.html
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