In a recent review of the six-year implementation of Decree 55/2019/ND-CP, which governs legal support for small and medium enterprises (SMEs) in Vietnam, significant shortcomings have been identified. The draft report highlights that the decree has failed to create a solid legal foundation for SMEs to access state support policies effectively and conveniently.
One of the critical issues raised is the lack of regulations prioritizing legal support for SMEs located in remote areas, ethnic minority regions, or those owned by women. Furthermore, enterprises that focus on social impact have not received adequate attention under the current framework. This is particularly concerning given the emphasis placed on the private economy's pivotal role in national development by the Party's resolution 10-NQ/TW and the direction from General Secretary Tô Lâm.
As it stands, Decree 55/2019/ND-CP primarily benefits small and medium enterprises but does not extend its legal support to the broader private economic sector, which includes over 5 million individual business households. This oversight has left a considerable segment of the economy without the necessary legal backing to thrive.
During a conference discussing these findings, Le Viet Quoc, the Director of the Department of Legal Education and Aid, underscored the urgent need to draft a new decree to replace the existing one. He argued that the new regulation should better reflect the current realities faced by SMEs and the private sector at large. "We need a legal framework that is adaptable and responsive to the needs of businesses, especially small and medium enterprises, which are crucial for economic growth," he stated.
Participants in the conference included leaders from the Legal Aid Department, provincial justice departments, and various legal support centers. They collectively acknowledged the pressing need for a more inclusive approach to legal aid that encompasses all types of businesses, including cooperatives and individual households, to align with the Party's policies and societal needs.
Another significant point raised during the discussions was the lack of transparency regarding the network of legal advisors. Most ministries have not published lists of available legal consultants, which hampers SMEs' ability to access necessary legal guidance. Additionally, the costs associated with legal support remain low, and the procedures are often cumbersome, further complicating access for small businesses.
To address these challenges, the report suggests that the government must refine its legal aid institutional framework. This includes clearly defining the responsibilities of relevant agencies and expanding the scope of legal support to ensure that it is not limited to SMEs. The report advocates for a comprehensive legal aid mechanism that prioritizes assistance for individual business households and cooperatives.
Le Viet Quoc also emphasized the importance of collaboration between ministries and local authorities to ensure that legal aid programs are not only effective but also practical. He called for a proactive approach to identifying and resolving current obstacles faced by businesses, such as policy difficulties and resource accessibility.
In a related development, on April 9, 2025, the Ministry of Justice issued Official Dispatch No. 1866, which outlines the implementation of tasks under its jurisdiction concerning the organization of a two-level local government. This dispatch includes specific guidance on legal aid.
During a meeting organized by the Department of Legal Education and Aid, localities were encouraged to promote decentralization, allowing local authorities to take greater responsibility for legal aid initiatives. Participants expressed that the restructuring and merging of administrative units at both provincial and communal levels directly impact the effectiveness of the justice sector and legal aid services.
One suggestion made was to establish state legal aid centers in provinces to better align with local needs for legal support. The Department of Legal Education and Aid has urged localities to adhere to the Party's directives and the State's guidance regarding the reorganization of administrative units, ensuring that legal aid services remain uninterrupted and effective.
As Vietnam continues to navigate the complexities of supporting its growing private sector, the need for a robust legal framework that genuinely supports SMEs and individual business households has never been more critical. The ongoing discussions and proposed reforms signal a commitment to enhancing the legal landscape for businesses, ensuring that they can thrive and contribute meaningfully to the economy.
In conclusion, the call for a new decree and the emphasis on decentralization reflect a broader understanding of the challenges faced by the private sector. As the government works to implement these changes, it is essential that all stakeholders remain engaged in the process to ensure that the legal aid system is comprehensive, accessible, and truly beneficial for all businesses.
