Conditions for establishing a foreign-invested higher education institution in Vietnam

To establish a foreign-invested educational institution, foreign investors must satisfy the following conditions according to Articles 35, 36, 37, 38 of Decree 86/2018/ND-CP on 06^th June 2018 (amended and supplemented by Decree 124/2024/ND-CP) regulating foreign cooperation and investment in the field of education:

Investment capital: For projects to establish higher education institutions with foreign investment capital, the total minimum investment capital must be VND 1,000 billion (excluding land use costs). The foreign-invested economic organization is the project investor and must demonstrate financial capacity according to the provisions of the Investment Law. By the time of appraisal for permission to establish a university, the investment value must be over VND 500 billion.

Facilities and equipment:

• The land area for construction of foreign-invested higher education institutions must not be lower than the prescribed land area for construction of higher education institutions invested by domestic investors and must ensure operating conditions; the land area for construction of branches of foreign-invested higher education institutions and branches of foreign higher education institutions in Vietnam must not be lower than the prescribed land area for construction of branches of higher education institutions invested by domestic investors and must ensure operating conditions;
• The average area for building shall be at least 09 m²/student; the studying area shall be at least 06 m² per student; the dormitory area shall be at least 03m²/student;
• There must be enough lecture halls, classrooms and functional rooms that satisfy the training requirements in the disciplines and the forms of training;
• There must be enough offices, administration area and managing board that suit the organizational structure of the academic departments, faculties and disciplines. The minimum area shall be 08 m²/person;
• There must be conference rooms, libraries, testing labs, workshops and other facilities that satisfy the requirements of the training program and science and technology activities;
• There must be canteens and constructions serving the recreation, sports and cultural activities, and medical constructions and services serving the managers, lecturers and students;
• There must be a technical construction area and a parking lot.

Educational programs: Foreign educational programs implemented in Vietnam must ensure the following requirements:

• Recognized or accredited by a competent educational agency or organization of the host country to have an educational program that meets quality standards according to the standards of the host country; taught directly for at least 05 years in the host country as of the date of submission of the application for registration of operation; approved for use in Vietnam by the foreign educational institution or organization that owns the educational program;
• No content that damaging the national security and public interests; without spreading religion and distorting history; without negatively affect the cultures, ethics and traditional customs of Vietnam;
• Ensure connectivity between educational levels and training qualifications and connectivity when students transfer to study at public educational institutions according to regulations of the Ministry of Education and Training;
• Foreign educational programs taught to Vietnamese students must ensure educational objectives consistent with Vietnam's educational objectives and meet the regulations under Decree 124/2024/ND-CP.

Foreign-invested educational institutions are allowed to organize teaching:

• Vietnamese education program according to the Vietnam’s laws;
• Foreign short-term training programs; programs at bachelor’s, master’s and doctorate levels within the joint training programs conducted with foreign partners.

Teaching staff:

As for higher educational institution:

• The lecturers shall hold at least master’s degrees or higher. The proportion of lecturers that hold master’s degrees shall not be lower than 50% of the total lecturers, except in some particular disciplines specified by the Minister of Education and Training;
• The maximum ratio of students to lecturers is 10:01, applicable to arts majors; 15:01 applicable to science and technology majors; 25:01, applicable to social science, humanities and economics majors – business administration major;
• The higher educational institution shall have enough permanent lecturers to undertake at least 60% of the program of each discipline;
• The foreign lecturers teaching at a foreign-invested educational institution shall have experience in the discipline that they teach except the cases stipulated in point dd of this clause;
• The foreign lecturers who teach foreign language skills at a higher educational institution shall hold bachelor’s degrees or higher and qualifications for teaching foreign languages.

Thus, foreign investors must also meet all of the above conditions to open higher education institutions in Vietnam.