Decree 225/2025/ND-CP Amending Investor Selection Rules in Vietnam

On August 15, 2025, the government issued Decree 225/2025/ND-CP to amend and supplement several articles of Decree 23/2024/ND-CP (dated February 27, 2024), which details the implementation of the Bidding Law 2023 regarding investor selection for projects requiring competitive bidding as per specialized laws. It also adds new articles to Decree 115/2024/ND-CP (dated September 16, 2024), detailing investor selection for land-use projects. Decree 225/2025/ND-CP was issued to address practical challenges, particularly in preparing bidding documents, establishing investor selection criteria, coordinating between management agencies, and publicizing bidding information. This article from Viet An Law will clarify these new amendments and additions to help businesses and investors stay informed.

Scope of adjustment and application

Decree 225/2025/ND-CP focuses on amending and supplementing regulations related to:

• The process and procedures for investor selection under the Bidding Law 2023.
• Cases for open bidding, direct appointment, and competitive bidding.
• Bidding documents, criteria for evaluating capacity, experience, and financial plans.
• The coordination mechanism between state management agencies, provincial People’s Committees, and bidding organizers.

The decree applies to:

• State management agencies have the authority to approve projects.
• Bidding solicitors and bid evaluation committee.
• Domestic and foreign investors participating in bidding for projects under the Bidding Law.

Key Changes in Decree 225/2025/ND-CP amending investor selection rules in Vietnam

Expanded “Interested party” scope

According to Clause 2, Article 3 of Decree 225/2025/ND-CP, the scope of “interested parties” is no longer limited to provincial People’s Committees, ministries, and agencies. It now includes commune-level People’s Committees and other agencies as specified by specialized laws.

Additionally, Clauses 4a and 4b, Article 3 of the decree provide specific definitions for:

• Request for Proposals (RFP): The set of documents prepared by the interested party to request investors to submit proposals.
• Proposal: Documents prepared and submitted by an investor to participate in the selection process.

This change provides clarity and consistency, unlike the previous regulations in Decree 23/2024/ND-CP and Decree 115/2024/ND-CP, which were more general.

Exemption from competition assurance in two special cases

A notable point in Clause 7, Article 4 of Decree 225/2025/ND-CP is the relaxation of competition assurance requirements for:

• Projects using the investor direct appointment method (pursuant to Clause 2a, Article 34 of the Bidding Law).
• Projects selecting investors in special cases (Article 34a of the Bidding Law).

This means investors for these two types of projects are no longer required to meet the competition assurance conditions stipulated in Decree 23/2024/ND-CP, which previously applied to all projects without exception.

New incentive policies for investors

To encourage innovation and attract investment, Decree 225/2025/ND-CP adds several new incentive policies:

• Science-technology enterprises, innovative startups, and high-tech application enterprises will receive a 5% bonus score in the bid evaluation. (point c, clause 4, Article 1 and point c, clause 5, Article 2)
• Foreign investors committed to technology transfer will receive a 2% bonus score in the evaluation process. (point d, clause 5, Article 1 and point d, clause 5, Article 2)

Previously, Decree 23/2024/ND-CP and Decree 115/2024/ND-CP offered some general incentives but did not provide specific bonuses for technology and startup companies or technology transfer commitments.

Removal of “experience” as an evaluation criterion

A significant change is the removal of the similar-experience standard for evaluating bids. From now on, the assessment will focus on capacity (financial, technical, and human resources). While investors can still submit documents to prove their experience, it’s no longer a mandatory condition.

This is reflected in the renaming of Article 45 of Decree 23/2024/ND-CP and Article 46 of Decree 115/2024/ND-CP from ” Evaluation criteria for capacity and experience “to simply ” Evaluation criteria for capacity”. At the same time, Article 21 of Decree 225/2025/ND-CP also removes numerous phrases containing the word “experience” from several articles of both Decree 23/2024/ND-CP and Decree 115/2024/ND-CP.

Changes to regulations for social housing and armed forces housing projects

According to Clause 2g, Article 4 of Decree 225/2025/ND-CP, the general rule for bidding on social housing, apartment reconstruction, or armed forces housing projects remains: bidding is required only when two or more investors register.

However, the new decree adds projects under Resolution 201/2025/QH15 (May 29, 2025) on pilot policies for social housing development. This aligns current regulations with the Housing Law 2023 and new National Assembly policies.

Expanded scope for projects in special cases

Article 44a of Decree 115/2024/ND-CP, as amended by Decree 225/2025/ND-CP, now includes more types of projects eligible for special investor selection methods, such as:

• Urgent projects as per resolutions, directives, or conclusions of the Government, provincial Party Committees, or People’s Councils.
• Synchronous infrastructure connection projects aligned with regional/provincial development plans.
• Nuclear power and offshore wind power projects (only when other bidding methods are unfeasible).
• Other specific projects where standard selection methods are not viable.

This expansion reflects urgent needs in practice.

Completed process for investor selection in special cases

Clause 17, Article 2 of Decree 225/2025/ND-CP specifies three authority mechanisms for reviewing special case projects:

• Projects under the authority of the National Assembly or the Prime Minister: A specialized agency will conduct the evaluation and submit it for a decision.
• Projects under the authority of provincial People’s Committees: The provincial People’s Committee will appraise and issue both the project policy and investor approval decisions.
• Urgent projects related to national defense and security: Specific guidelines for dossier and appraisal procedures are provided by the Ministry of National Defense and the Ministry of Public Security.

The decree also adds regulations on contract negotiation, signing, and handling issues that arise after an investment policy is approved; adds provisions for issues that arise after an investment policy decision has been made (Clause 5), or for projects involving land allocation/land leasing without auction (Clause 7).

First-time regulation of investor appointment

Clause 18, Article 225/2025/ND-CP adds Article 44c, which specifies projects applying the form of investor appointment. Projects applying the form of investor designation are stipulated in Clause 2a, Article 34 of the Law on Bidding, including:

• Projects proposed by investors in which the investor has ownership or the right to use technology in the list of strategic technologies and strategic technology products.
• The project needs to continue selecting investors who have previously deployed digital infrastructure and digital platforms to ensure compatibility, synchronization, and technical connectivity.
• Urgent, nationally important projects, or those caused by natural disasters or force majeure events.
• Urban development projects following the TOD model, or Projects with sea encroachment activities, to create momentum for local socio-economic development.

Annually, the competent authority shall report on the results of project implementation by the designated investor, ensuring that the project is implemented in accordance with the requirements on progress, quality, and efficiency, and send it to the Ministry of Finance for synthesis and reporting to the Prime Minister. This measure aims to prevent abuse while allowing flexibility for urgent projects.

Clause 18, Article 2 of Decree 225/2025/ND-CP also introduces two clear investor appointment procedures:

• Normal procedure (7 steps): From preparing the RFP, evaluation, publicizing results, to contract negotiation.

• Simplified procedure (4 steps): Applies when an investor proposes a project, streamlining the process while ensuring transparency.

This marks the first time that the direct investor appointment mechanism is clearly defined, limited, and subject to oversight by law.

Resolution of petitions in bidding

Decree 225/2025/ND-CP also added Chapter VIIIa “Resolution of petitions in bidding for investor selection” including Articles 61b, 61c, and 61d after Chapter VIII of Decree 115/2024/ND-CP, which clearly stipulates the conditions for considering and resolving petitions; petition handling procedures.

Key points include:

• The petitions must be submitted to the correct authority (bidding solicitor, competent person, or grievance resolution council) and must have a legal signature, including a digital signature.
• Grievances regarding the bidding documents or the selection process must be answered within 7 working days.
• Grievances regarding the results of investor selection must also be addressed within 07 working days from the date of receipt of the investor’s petition.
• The cost of handling the petition shall be paid by the petitioning investor; otherwise, the petition will not be considered.

These new regulations make the grievance process faster, more transparent, and more accountable, preventing delays that can harm both investors and management agencies.

Above is the information on the issue of Decree 225/2025/ND-CP amending investor selection rules in Vietnam. Clients who have related questions or need legal support, please contact Viet An Law Firm for the best support!