Great news for foreign investors eyeing Vietnam! Ho Chi Minh City, the country’s economic powerhouse, is rolling out the red carpet by slashing at least 30% of administrative procedures for businesses.
This bold move, spearheaded by Chairman Nguyen Van Duoc of the Ho Chi Minh City People’s Committee, signals a game-changing shift to make doing business easier, faster, and more cost-effective.
Chairman Duoc has directed city departments to streamline regulations that have long frustrated businesses, targeting a 30% reduction in processing times and the elimination of unnecessary hurdles. This isn’t just talk—each unit is tasked with delivering concrete proposals to simplify procedures under the city’s control or escalate recommendations to national ministries. The goal? Slash business costs by at least 30% and turbocharge the investment climate.
This initiative aligns with a recent directive from Vietnam’s Prime Minister to boost the business environment and drive socio-economic growth, with a special focus on empowering small and medium enterprises (SMEs)—a vital engine for innovation and jobs. For foreign investors, this means fewer headaches and more opportunities to tap into a market brimming with potential.
Why This Matters to You
Ho Chi Minh City is home to over 500,000 enterprises, making it a bustling hub for trade and investment. In January alone, foreign investment hit $150 million—a 20.2% jump from last year. While new business registrations dipped in early 2025 (3,900 new firms with VND 29,600 billion in capital, down 37.6% in licenses and 47.9% in capital from 2024), the city’s aggressive reforms are set to reverse that trend and ignite fresh growth.
Imagine this: faster approvals, less paperwork, and a government committed to cutting the red tape that slows down profits. Chairman Duoc has made it clear—departments must act decisively, eliminate delays, and stamp out harassment to rebuild trust with investors like you.
Expert Insight: Sophie Dao Weighs In
Sophie Dao, Senior Partner at GBS, a leading investment consulting firm for foreign investors in Vietnam, hailed the move as a “landmark step forward.” “This 30% reduction in procedures is a clear signal that Ho Chi Minh City is serious about becoming a global investment magnet,” she said. “For our clients, this translates to faster market entry, lower operational costs, and a smoother path to profitability. It’s an exciting time to invest in Vietnam, and the city is raising the bar for efficiency and transparency.”
Dao added, “The focus on SMEs is particularly encouraging. These businesses often drive innovation, and with less bureaucracy, foreign investors can partner with or establish agile ventures here with confidence. Ho Chi Minh City is proving it’s not just open for business—it’s optimizing for success.”
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Sophie Dao, Senior Partner at GBSTech-Powered Efficiency
At a recent dialogue with Korean businesses on March 25, Deputy Director of the Department of Finance, Do Dang Ai, unveiled plans to supercharge reforms with technology. The city is pushing for 95% of administrative procedures to go online, leveraging “one-stop” and “one-stop-shop” systems to save you time and hassle. Plus, upgrades to the national business registration system are in the works to shrink processing times even further.
Need help getting started? The Department of Finance is launching a support program via its Business Information Portal, guiding investors through investment registration and capital contribution processes—whether you’re launching a new project or buying shares.
Vietnam’s Economic Star on the Rise
Ho Chi Minh City isn’t just resting on its laurels. It’s gunning to climb into the top 15 nationwide for its Administrative Reform Index (PAR Index) in 2025 and boost its Provincial Competitiveness Index (PCI). For foreign investors, this translates to a more transparent, efficient, and welcoming market.
With its strategic location, growing consumer base, and now a turbocharged business-friendly environment, Ho Chi Minh City is positioning itself as the destination for your next big investment. “Vietnam’s potential has always been immense,” Sophie Dao noted, “and with these reforms, Ho Chi Minh City is turning that potential into action. Investors should take notice—this is a golden window of opportunity.”
Ready to seize it? Vietnam’s economic locomotive is firing on all cylinders—don’t miss the ride!
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Source: Vietnam Insider