Vietnam Pushes Ministries to Cut Red Tape Amidst Reform Delays

The Vietnamese government, under the direction of Deputy Prime Minister Phạm Thị Thanh Trà, is intensifying efforts to streamline bureaucratic processes across various ministries. A recent directive calls for a significant reduction and simplification of administrative procedures and business conditions, aiming to foster a more efficient and business-friendly environment. This push comes as part of a broader national strategy to enhance competitiveness and reduce the burden on citizens and enterprises.

However, the implementation appears to be lagging in several key areas. The directive explicitly identifies ministries that have fallen behind schedule in meeting the set targets. These targets include limiting the number of administrative procedures within a ministry's purview, slashing processing times by 50%, and reducing compliance costs by half, all benchmarked against 2024 figures. Furthermore, the elimination of unnecessary business registrations is a critical component of this reform.

While three ministries—Agriculture and Rural Development, Construction, and Justice—have reportedly met all the required targets, a notable number are still struggling. The Ministry of Science and Technology, Ministry of Foreign Affairs, and Government Inspectorate are among those that have not yet achieved any of the set objectives. Other ministries, including Finance and the State Bank of Vietnam, are falling short on specific targets, such as limiting the percentage of administrative procedures or reducing processing times and costs.

The government is emphasizing accountability, with ministers bearing full responsibility for any delays or failures to meet the stipulated targets. The Ministry of Finance has been tasked with consolidating the submitted plans and conducting an independent review to finalize a government resolution on cutting conditional business lines. This rigorous approach underscores the administration's determination to overcome bureaucratic inertia and ensure that reforms translate into tangible improvements for the economy and its stakeholders.