Decree 97/2025/ND-CP providing preferential mechanisms for Vietnam National Innovation Center

DECREE

Providing preferential mechanisms and policies applicable to the Vietnam National Innovation Center^[1]

Pursuant to the February 18, 2025 Law on Organization of the Government;

Pursuant to the June 25, 2015 Law on the State Budget;

Pursuant to the April 6, 2016 Law on Export Duty and Import Duty;

Pursuant to the June 21, 2017 Law on Management and Use of Public Property;

Pursuant to the June 12, 2017 Law on Support for Small- and Medium-Sized Enterprises;

Pursuant to the November 29, 2024 Law on Public Investment;

Pursuant to the November 20, 2019 Labor Code;

Pursuant to the June 17, 2020 Law on Investment;

Pursuant to the June 17, 2020 Law on Enterprises;

Pursuant to the January 18, 2024 Land Law;

Pursuant to the June 28, 2024 Law on the Capital;

At the proposal of the Minister of Finance;

The Government promulgates the Decree providing preferential mechanisms and policies applicable to the Vietnam National Innovation Center.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

This Decree provides a number of preferential mechanisms and policies applicable to the Vietnam National Innovation Center established under the Prime Minister’s decision (below referred to as the Center), organizations and individuals operating at the Center, and other related organizations and individuals.

Article 2. Subjects of application

1. The Center and its operational facilities.

2. Domestic and foreign organizations and individuals operating at the Center.

3. Other related organizations and individuals.

Article 3. Interpretation of terms

In this Decree, the terms below are construed as follows:

1. Innovative entrepreneur means a person involved in the research and development of new ideas, trading in new products and services, or deployment of new business models;

2. Innovative startup enterprise operating at the Center means an enterprise operating at the Center, that is established in accordance with law to realize ideas on the basis of exploiting intellectual assets, technology and new business models with high-growth potential.

3. Innovative enterprise operating at the Center means an enterprise operating at the Center that has either new or improved products/services or new or improved production/business processes (or both products/services and production/business processes) which differ from previous ones of the enterprise, and have been either introduced to the market or put into use by the enterprise.

4. Operational facilities of the Center include the head office in Hanoi; a facility at the Hoa Lac Hi-Tech Park, Hanoi; a facility at Lot D25, Cau Giay new urban area, alley 7 Ton That Thuyet street, Hanoi; and other facilities under decisions of competent authorities.

5. Organizations operating at the Center means organizations that have their head office, branches, representative offices or business locations located at operational facilities of the Center.

Article 4. General principles of incentives and preferential treatment

1. The State shall encourage and adopt preferential mechanisms and support policies to create a favorable environment for research and development, investment and business at the Center, aiming at attracting domestic and foreign talents and experts, corporations, and technology enterprises in the country and from technologically advanced countries to realize ideas on the basis of exploiting intellectual assets, advanced technologies, and new business models with high-growth potential.

2. The Center is entitled to preferential mechanisms and policies, and favorable administrative procedures in accordance with law in order to support and develop an innovation and startup ecosystem, contributing to renewing the growth model based on the development of science, technology and innovation.

3. The Center shall implement the autonomy mechanism applicable to public non-business units whose recurrent expenditures and investment expenditures are self-covered by the units themselves. In addition, the Center may apply the preferential mechanisms and policies specified in this Decree.

4. The Center may use state budget funds and its other lawful revenues to invest in the construction, upgrading of infrastructure, equipment, accommodation facilities, and other utility service facilities for organizations and individuals engaged in the Center’s activities, and to implement programs, projects and activities in support of innovation and startup.

Chapter II

PREFERENTIAL MECHANISMS AND POLICIES APPLICABLE TO THE CENTER, AND ORGANIZATIONS AND INDIVIDUALS OPERATING AT THE CENTER

Article 5. Labor incentives

1. Foreigners working at the Center in the following cases are not subject to work permits:

a/ Performing labor contracts signed with the Center to work as managers, executives, experts or technicians in positions for which Vietnamese workers are not yet qualified as required by the Center;

b/ Performing labor contracts signed with organizations or enterprises operating at the Center to work as managers, executives, experts or technicians in positions for which Vietnamese workers are not yet qualified to meet production and business requirements.

2. The order, dossiers and procedures for certifying that foreign workers are not subject to  work permits as specified in Clause 1 of this Article must comply with the labor law, the Law on the Capital, and other relevant laws.

Article 6. Investment credit incentives

1. Investment projects of innovative startup enterprises operating at the Center, and the Center’s investment projects that are on the list of projects eligible for state investment credit, may access state investment credit loans in accordance with law, provided they fully meet loan conditions.

2. The Center and innovative entrepreneurs and innovative startup enterprises operating at the Center may receive donations, supports, loans and loan guarantees from off-budget state financial funds and financial institutions in accordance with law.

Article 7. Land-related incentives and support for operational premises at Hoa Lac Hi-Tech Park

1. To be exempt from the infrastructure use levy for leased land areas in zones where such levy is applicable for State-invested technical infrastructure works.

2. To be exempt from all expenses for compensation, site clearance, support and resettlement.

3. The state budget shall cover all expenses for ground leveling for the Center’s infrastructure investment projects.

Article 8. Receipt and use of official development assistance, concessional loans, aid and donations

1. The Center may receive and use official development assistance (ODA) and concessional loans from foreign donors in accordance with law.

2. The Center may receive and use non-refundable aid other than ODA sources provided by foreign agencies, organizations and individuals (below collectively referred to as aid); and donations or sponsorships provided by domestic organizations and individuals (below collectively referred to as donations), including also deposit interest of such amounts, to cover expenses for construction of physical foundations, recurrent expenditures, provision of support for innovation and entrepreneurship, and management and operation of the Center.

3. Aid, donations, and deposit interest accrued thereon shall be managed as lawful revenues of the Center, not classified as state budget revenues, and shall not be subject to procedures for the establishment of all-people ownership.

4. The receipt, management and use of aid provided to the Center must combly with this Decree and the law on the management and use of non-refundable aid other than ODA provided by foreign agencies, organizations and individuals for Vietnam.

5. The receipt, management and use of donations for the Center shall be carried out as follows:

a/ The Center’s Director shall be competent to accept or refuse donations provided by domestic organizations and individuals;

b/ After receiving a donation commitment letter from a domestic organization or individual, the Center’s Director shall review and decide whether to accept the donation;

c/ For a cash donation, after the Center’s Director decides to accept the donation, the donor shall transfer the donation amount in Vietnam dong to the Center’s account opened at a commercial bank;

d/ For a non-cash donation, the donor shall specify the value of the donated assets in Vietnam dong in the donation commitment letter. In case the value of the donated asset is VND 10 billion or more, within 45 days after receiving the donation commitment letter, the Center shall establish an evaluation committee or hire an appraisal organization for asset valuation;

If the appraised value differs from the asset value stated in the donation commitment letter, the Center’s Director shall decide to accept the donated asset based on the appraised value, after reaching an agreement with the donor;

dd/ For donations in the form of project item, work or equipment under an investment project of the Center, if the donation value exceeds the approved detailed estimate for the respective item, work or equipment, the Center’s Director shall decide to accept the donation based on the approved detailed estimate;

e/ After the Center’s Director decides to accept a donation, the Center may sign a donation agreement or contract, or other equivalent documents at the request of the donor. The Center shall carry out accounting for donations in accordance with law.

6. Aid providers or donors shall take responsibility for the truthfulness, accuracy and lawfulness of the aid or donations they provide.

Article 9. Provision of public non-business services by the Center

1. The Center may provide public non-business services in conformity with its functions and tasks, including:

a/ Incubation and business support services, including provision of working space, technical infrastructure, resources and necessary services for organizations and individuals to finalize ideas, conduct research and development activities, and apply technology, and carry out production and business activities;

b/ The services of training organization and support; investigation, survey, research; and publishing of documents and publications on innovation, startup and the Center’s key technology areas;

c/ Innovation and startup consultancy, connection and promotion services, including business networking, investment and trade promotion, organization of exhibitions, conferences, seminars, forums and competitions to promote innovation and startup at home and abroad;

d/ Consultancy services on establishment, management and operation of innovation and startup centers; management of innovative startup investment funds;

dd/ The services of supplying shared-use equipment, laboratories and software to support individuals, organizations and enterprises in training, research, engineering, testing, measurement, analysis, inspection, assessment and development of products, goods, materials, etc.;

e/ The services of providing co-working areas, including centralized working space, spaces for product display or utility provision to support and connect organizations and individuals operating at the Center;

g/ Auxiliary and support services that directly serve the implementation of the Center’s functions and tasks, including accommodation and other auxiliary and support activities for innovation and startup;

h/ Other services in conformity with the Center’s functions and tasks.

2. The Center may use public property, including head offices and operational facilities, intellectual property rights, application software and databases that it owns or is assigned to manage and operate, to provide public non-business services in order to perform its functions and tasks.

Article 10. Supports provided by the Center

The Center may attract and support innovative entrepreneurs, innovative startup enterprises, innovative enterprises, and organizations, individuals and partners engaged in research and development, technology application, investment, production and business activities at its facilities, in conformity with its assigned functions and responsibilities. Innovative entrepreneurs, innovative enterprises and innovative startup enterprises operating at the Center, and organizations and individuals supporting innovation shall be supported by the Center in:

1. Carrying out administrative procedures in the course of research, investment, business and commercialization of products and services.

2. Carrying out procedures for issuance of entry visas, work permits and residence permits.

3. Carrying out investment promotion and facilitation, and connection to the innovation and startup ecosystem.

4. Establishing offices, research and production areas, and technology demonstration zones; and using the Center’s laboratories, testing, inspection and verification facilities, and other equipment and utilities of the Center.

Article 11. Business registration and establishment of industrial property rights

1. When registering for enterprise establishment, innovative entrepreneurs, innovative enterprises and innovative startup enterprises operating at the Center shall be granted the enterprise registration certificate within 1 working day after the business registration agency receives a complete and valid dossier.

2. Innovative entrepreneurs and innovative enterprises or innovative startup enterprises operating at the Center shall be given with priorities in carrying out procedures for the establishment of industrial property rights ahead of schedule, upon request.

Article 12. Other mechanisms and policies

1. Innovative entrepreneurs and innovative enterprises or innovative startup enterprises operating at the Center are entitled to the following preferential mechanisms and policies:

a/ Mobilizing and receiving donations from research and innovation programs funded by the State and domestic and foreign enterprises, organizations and individuals in accordance with law, to realize ideas based on the exploitation of intellectual assets, technology, new business models with high-growth potential;

b/ Being entitled to preferential mechanisms and policies, and simplified administrative procedures as prescribed by law to facilitate innovation and startup activities.

2. The Center may establish a National Innovation Fund that operates as an enterprise and has the function of mobilizing resources, managing innovative startup investment funds, and providing supports, donations and investment for innovation and innovative startup activities. The National Innovation Fund shall operate in adherence to the market principles, accepting risks while ensuring publicity and transparency. The Minister of Finance shall approve the establishment scheme and charter, and provide operation mechanism of the National Innovation Fund.

Chapter III

ORGANIZATION OF IMPLEMENTATION

Article 13. Responsibilities of agencies

1. The Ministry of Finance shall:

a/ Submit to the Government or the Prime Minister for decision according to competence, preferential mechanisms and policies to promote operations of the Center, organizations and individuals operating at the Center, and projects in the Center that are in special need of investment attraction, in conformity with each development period or phase of the Center;

b/ Direct the Center in mobilizing lawful resources for its construction and operation in accordance with its assigned functions and tasks.

2. The Ministry of Science and Technology shall:

a/ Guide the implementation of procedures for establishment of industrial property rights specified in Clause 2, Article 11 of this Decree;

b/ Assume the prime responsibility for, and coordinate with related ministries and agencies in, guiding criteria and conditions for innovative enterprises or innovative startup enterprises to enjoy preferential mechanisms and policies in accordance with the law on science, technology and innovation.

3. Ministries and ministerial-level agencies shall, within the ambit of their functions, tasks and powers, coordinate with the Ministry of Finance in supporting and developing the Center’s operational facilities and connect innovation and startup activities with the Center’s operation.

4. Provincial-level People’s Committees shall:

a/ Facilitate procedures for site allocation, establishment and operation of the Center’s operational facilities in their localities;

b/ Connect the activities of local innovation and startup centers with those of the Center.

Article 14. Transitional provisions

1. The Center may continue to enjoy land rental-related incentives as specified in competent agencies’ decisions and signed contracts on lease of land at the Hoa Lac Hi-Tech Park.

2. Aid and donations for the Center that were approved prior to the effective date of this Decree shall be managed and used under Article 8 of this Decree.

3. Aid and donations for which the Center is carrying out receipt procedures as of the effective date of this Decree may apply Article 8 of this Decree.

Article 15. Implementation provisions

1. This Decree takes effect on the date of its signing.

2. The following Decrees and regulations shall cease to be effective on the effective date of this Decree:

a/ The Government’s Decree No. 94/2020/ND-CP of August 21, 2020, providing preferential mechanisms and policies for the National Innovation Center;

b/ Article 113 of Decree No. 31/2021/ND-CP of March 26, 2021, detailing and guiding the implementation of a number of articles of the Law on Investment.

3. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, and chairpersons of related provincial-level People’s Committees shall implement this Decree.-

On behalf of the Government
For the Prime Minister
Deputy Prime Minister
NGUYEN CHI DUNG