Law on Science, Technology and Innovation: A Pillar of Change
The Law on Science, Technology and Innovation (Law No. 93/2025/QH15), adopted by the National Assembly, marks a significant turning point in Vietnam’s development mindset and orientation. For the first time, “innovation” is placed on an equal footing with “science and technology,” clearly reflecting the vision and aspiration to make Vietnam a powerful nation through the advancement of science, technology, and innovation.
This Law comprehensively regulates the activities of agencies, organizations, and individuals in science, technology, and innovation, as well as policies and measures to ensure their development. Its central objective is to orient science, technology, and innovation toward practical application, wealth creation, enhanced competitiveness, and improved labor productivity, thereby driving economic growth. Vietnam is transitioning from a country that merely uses technology to one that masters strategic technologies.
One of the core innovations of the Law is the strong shift in management philosophy—from expenditure-based management to output-based management—moving away from the old practice of “counting invoices.” This change enhances autonomy and accountability for organizations, enterprises, and individuals.
To realize these goals, the Law focuses on:
Positioning enterprises as the center of the innovation system. Around 70–80% of the state budget for science and technology will be allocated to enterprises, which are encouraged and supported to invest in research, technology development, and innovation through financial, tax, land, bidding, and credit incentives.
Accepting risks in science, technology, and innovation activities. The Law provides exemptions from administrative, civil, and criminal liability for risks arising, provided that procedures are followed and there is no fraud or intentional violation.
Investing in digital infrastructure and comprehensive digital transformation in science, technology, and innovation, including the development of a National Digital Platform for STI management and a National STI Information System to enhance efficiency and transparency in state management.
Developing and improving the science and technology market, encouraging commercialization of research results and technology transfer.
Attracting and utilizing talent both domestically and internationally through special incentives in finance, working conditions, housing, and career opportunities. The Law also introduces the role of “Chief Engineer” for outstanding individuals to lead major programs and projects.
The Law also emphasizes balance between natural sciences and social sciences, promoting research in political theory, social sciences, and humanities to provide scientific grounds for Party guidelines and State policies.
