A series of foreign direct investment (FDI) projects in education are expanded to emerging cities other than Hanoi and Ho Chi Minh City. These education projects aim to provide international standard education quality and infrastructure.

This trend emerged as a result of new wealth and longer-term economic development potentials of those cities alongside recent investments in new infrastructure projects. 

Below are some of the new FDI education projects in the emerging cities:

According to the Foreign Investment Department, Ministry of Planning and Investment, by the end of 2014, Vietnam has received 204 FDI projects in education with the total registered capital of USD 825.50 million. 2014 alone saw 24 new ones totalling USD 82.86 million.

British Council commentary

According to the Vietnam Provincial Competitiveness Index 2013 (PCI) Report that measures the quality of economic governance across 63 provinces of Vietnam, Binh Dinh, Vinh Phuc and Khanh Hoa are all ranked in the mid-high performing provinces. This shows the FDI attractiveness of these provinces as well as their new movement in industrial structure from production to services, especially education service.

These are positive signs despite the fact that education is currently seen as one of the least attractive areas for FDI given unfavourable regulations for foreign investors in the area. It is the increasing demand and affordability of families in giving their children best education conditions leading to potentials of studying abroad or achieving international qualifications that drives this trend.

The Government Decree 73 issued in 2012 restricts the number of Vietnamese students at foreign-invested educational institutions at 10% for primary and lower secondary levels, and 20% for upper secondary levels.

A guidance issued by MOET in December 2014 requires foreign-invested schools at these levels are to provide Vietnamese students with Vietnamese language and Vietnamese studies, besides their international curriculum,; Vietnamese Law is mandatory subjects for Vietnamese students at foreign-invested further and higher education institutions with exemption to joint training programme awarded by the foreign partner.

For further enquiries, please contact Nga Bui at nga.bui@britishcouncil.org.vn