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Vietnam Proposes Tuition-Free Education Policy in Major Reform Push

In a significant move to reshape Vietnam’s education landscape, the Ministry of Education and Training has put forward a draft resolution to eliminate tuition fees for students at all levels of public general education, from preschool to upper secondary school. Announced on April 15, 2025, the proposal, currently open for public feedback, aims to alleviate financial burdens on families and reinforce the government’s commitment to accessible education. If adopted by the National Assembly, the policy could mark a transformative step in Vietnam’s social and economic framework, with implementation targeted for the 2025-26 academic year.

A Comprehensive Tuition Waiver Plan

The draft resolution outlines a sweeping plan to waive tuition fees across public kindergartens, primary, secondary, and high schools, as well as public continuing education centers and other state-funded institutions delivering the national general education curriculum. For students in non-public institutions, including private and semi-public schools that follow the same curriculum, the state budget would provide tuition support up to a ceiling level determined annually by provincial People’s Councils. This ceiling would align with fees at public institutions that have not yet achieved full financial autonomy.

At present, under the 2019 Law on Education, only five-year-old preschoolers, primary school pupils, and lower secondary students in public schools are exempt from tuition fees. The proposed policy extends this exemption to all levels of public education, creating a unified “no tuition fees” framework. The Ministry of Education and Training emphasized that this initiative would directly benefit millions of families, particularly those grappling with economic challenges, by reducing household expenditure on education.

Financial Implications and Budgetary Needs

The financial scope of the proposed policy is substantial. Based on data from the 2023-24 academic year, Vietnam has approximately 23.2 million students, with 21.5 million (93 percent) enrolled in public schools and 1.7 million (7 percent) in non-public institutions. Breaking this down by education level, there are 4.8 million preschool children, 8.8 million primary school pupils, 6.5 million lower secondary students, and 2.99 million upper secondary students.

The ministry estimates that the total annual budget required to cover tuition waivers for public school students and provide support for those in private institutions adhering to the national curriculum is around VNĐ30 trillion (US$1.15 billion). Currently, the state allocates VNĐ22.5 trillion (US$867 million) annually to maintain existing tuition exemptions for specific groups. The additional funding needed to implement the full tuition-free policy, therefore, amounts to VNĐ8.2 trillion (US$316 million), a significant increase in public expenditure.

This funding calculation draws on minimum tuition thresholds established in government decrees from 2021 and 2023. While the ministry acknowledges the fiscal challenge, it argues that the long-term benefits—such as reduced financial strain on families and increased consumer spending on other goods and services—justify the investment. Moreover, officials suggest that the policy could strengthen public trust in the government and the Communist Party of Vietnam (CPV), which has long prioritized education as a pillar of national development.

Social and Economic Impacts

The potential elimination of tuition fees could have far-reaching effects on Vietnamese society. For many families, especially in rural areas or those with multiple children, education costs represent a significant portion of household budgets. By removing this burden, the policy may enable parents to allocate resources to other essentials, such as healthcare, nutrition, or vocational training, potentially contributing to a reduction in poverty rates over time.

Economically, the redirection of household savings from tuition fees to consumer spending could stimulate local markets, particularly in sectors like retail and services. However, some analysts caution that the increased state expenditure of VNĐ8.2 trillion (US$316 million) annually could strain public finances, especially if not accompanied by robust revenue generation strategies or cuts in other areas. The government will need to balance this ambitious social policy with fiscal sustainability, a challenge that may spark debate in the National Assembly.

Beyond economics, the policy aligns with Vietnam’s broader goals of achieving equitable access to education, a principle enshrined in the country’s constitution and development plans. Education has historically been a cornerstone of Vietnam’s socialist-oriented policies, with high literacy rates and school enrollment figures often cited as national achievements. Extending tuition waivers to all levels of public education could further solidify this legacy, positioning Vietnam as a regional leader in educational access.

Public Response and Implementation Timeline

The Ministry of Education and Training has opened the draft resolution for public consultation, inviting feedback from citizens, educators, and stakeholders. Early reactions, as gauged from social media platforms and local news outlets, suggest broad support for the initiative, particularly among parents and teachers. Many view the proposal as a long-overdue measure to address disparities in access to education, especially for families in economically disadvantaged regions.

However, questions remain about the practicalities of implementation. Critics have raised concerns about whether the state budget can sustainably absorb the additional VNĐ8.2 trillion (US$316 million) cost without compromising other public services, such as healthcare or infrastructure development. There are also logistical challenges, including ensuring that tuition support for students in private institutions is distributed equitably and transparently. Some educators worry that underfunded schools might struggle to maintain quality if additional resources are not allocated alongside the fee waivers.

If approved by the National Assembly, the policy is slated to take effect from the 2025-26 academic year, giving authorities just over a year to finalize funding mechanisms and administrative frameworks. The ministry has indicated that it will work closely with provincial authorities to set tuition support ceilings and ensure compliance with national standards, though the specifics of these arrangements are yet to be detailed.

Regional Context and Comparative Analysis

Vietnam’s proposed tuition-free policy places it among a growing number of countries in Southeast Asia and beyond that are rethinking education funding models. Neighboring nations like Thailand and Malaysia have implemented partial fee waivers or subsidies for public education, though often with limitations based on income levels or specific school types. Vietnam’s approach, if realized, would be more comprehensive, covering all levels of public general education without income-based restrictions.

Globally, countries such as Germany and Finland have long championed free education as a public good, with positive outcomes in terms of enrollment rates and social mobility. Vietnam’s policy could draw inspiration from these models, though it must adapt to local economic realities, including a reliance on state budgets rather than high taxation models seen in European nations. The success of the initiative will likely hinge on Vietnam’s ability to secure sustainable funding and address disparities in educational quality between urban and rural areas.

Challenges and Future Outlook

While the proposal has been met with optimism, several hurdles remain. Ensuring that the policy does not exacerbate existing inequalities—such as between well-funded urban schools and under-resourced rural ones—will be critical. The government may need to couple tuition waivers with investments in teacher training, infrastructure, and learning materials to ensure that free education does not come at the cost of quality.

Additionally, the inclusion of tuition support for students in private schools raises questions about oversight and accountability. Without clear guidelines, there is a risk that funds could be misused or fail to reach the intended beneficiaries. Public consultation will be crucial in addressing these concerns and refining the policy to reflect the needs of diverse communities across Vietnam.

As the draft resolution moves through the legislative process, it will likely spark broader discussions about the role of education in Vietnam’s development agenda. With an estimated 23.2 million students set to benefit, the stakes are high. If successful, the policy could serve as a model for other developing nations seeking to balance social equity with economic constraints.

For now, as Vietnam awaits public feedback and parliamentary debate, the prospect of tuition-free education offers a glimmer of hope for millions of families. Whether this ambitious reform can translate into tangible change remains an open question, one that will shape the future of the nation’s youth and its path toward inclusive growth.

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