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Vietnam Macro Note - National Assembly wraps up historic session

Macroeconomics

27 Jun 2025

On June 27, the 9th Session of the 15th National Assembly meeting concluded - marking a historic milestone with numerous groundbreaking reforms. During this session, the National Assembly passed 34 important laws and a series of resolutions, laying the legislative foundation for economic transformation and targeting double-digit growth in the 2026–2030 period and beyond. Key highlights include:

- First Amendment to the 2013 Constitution. On June 16, the National Assembly adopted Resolution 203/2025/QH15 to amend several articles of the 2013 Constitution - its first revision since enactment. The two major changes are: (1) Vietnam’s administrative system will be organized into two tiers: centrally governed provinces/cities, and subordinate administrative units; (2) the Vietnam Fatherland Front is redefined, and several socio-political organizations will now operate directly under its institutional framework.

- Restructuring local Government and streamlining administration. On June 12, the National Assembly passed Resolution 202/2025/QH15 on reorganizing provincial administrative units. Vietnam will reduce the number of provinces and cities from 63 to 34, with a streamlined two-tier local government system. This restructuring complements the earlier streamlining of the central Government apparatus at the beginning of 2025 and reflects a strong commitment to institutional reform and administrative efficiency. Medium- and long-term benefits of this reform are expected to include: (1) saving budget costs, (2) simplifying administrative procedures, (3) allocating capital more efficiently, and (4) enhancing regional development.

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