Vietnam Proposes Ending Licences for Overseas Investment to Boost Capital Flows

Vietnam’s Ministry of Finance has proposed scrapping overseas investment registration certificates under a draft revision of the Law on Investment, replacing them with a streamlined foreign exchange management regime. The Vietnam overseas investment reform would eliminate the need for National Assembly, Prime Minister, or ministerial approval, requiring only registration of capital transfers with the State Bank after investors secure documents abroad. Officials said the reform would reduce bureaucracy, cut costs, and align Vietnam with global practice, where most nations regulate capital flows instead of licensing. Experts welcomed the move as a bold shift to unleash private sector expansion abroad. As of June, Vietnamese investors held 1,916 overseas projects worth USD23bn.