On August 15, 2025, Vietnam’s government released Decree 225, which updates previous decrees on the management and implementation of the Law on Bidding. Effective from the date of announcement, the decree details numerous changes in investor selection procedures for projects that are significant to the country’s social and economic growth.

It introduces a step-by-step implementation plan for online bidding, including for land-use projects. The new tool, called the National Bidding Network System (NBNS), aims to simplify procedures for prospective businesses while enhancing efficiency in the bidding process.

This article explores the new roadmap, as well as other key modifications outlined in this decree.

Which directives are amended by Decree 225?

Decree 225 promulgates extensive amendments and supplements to two previous decrees, including:

• Decree 23/2024/ND-CP, dated 27 February 2024, which details articles and measures for implementing the Bidding Law regarding investor selection for projects required to be tendered under sectoral/industry management laws; and
• Decree 115/2024/ND-CP, dated 16 September 2024, which details articles and measures for implementing the Bidding Law regarding investor selection for investment projects involving land use.

Roadmap for mandatory online bidding

Decree 225 requires investor selection to be conducted online through the National Bidding Network System (NBNS) and follows a specific timeline:

• Starting July 1, 2026: All domestic “invitations for expressions of interest” for investment projects must be conducted online;
• Starting January 1, 2027: The online selection of investors will become mandatory for land-use investment projects using domestic open and limited bidding formats. This process applies to both one-stage, one-envelope and one-stage, two-envelope methods.

It is noteworthy that the new online investor selection process does not apply to international bidding projects. All the information on investor selection for these projects, however, must be published on the system as required by the 2023 Bidding Law.

Detailed guidelines for settling petitions in investor selection bidding

With the introduction of new provisions on settling petitions in investor selection bidding, Decree 225 standardizes the entire online investor selection procedure to ensure consistency and transparency.

These additions supplement Chapter VIII of Decree 115 with stricter conditions, clearer timelines, and the introduction of an independent settlement council. They establish a structured and multi-tiered mechanism for resolving petitions in investor selection, incorporating mandatory petition conditions, binding timelines, and independent review, thereby enhancing transparency, accountability, and due process within the bidding system.

Petition Settlement Council

Depending on the project, the Council may be formed by the Minister of Finance at the Prime Minister’s request, by ministers or equivalent agency heads for projects under their jurisdiction, or by provincial People’s Committees for local projects. Finance departments act as the Standing Unit. The Council consists of:

• A chair;
• The Standing Unit;
• Representatives of relevant agencies; and
• Experts or professional associations (where appropriate).

Members must not have family ties or conflicts of interest with either the petitioner or the evaluators. The Council must be established within five working days of receiving a petition. It will operate collectively on a case-by-case basis and make decisions by majority vote. It has the authority to request information from all relevant parties and automatically dissolves once its task is completed.

Conditions for petitions

Before the announcement of results, petitions may be submitted by agencies or organizations with an interest in the project regarding bidding documents, or by participating investors regarding the conduct of the bidding process. Such petitions must be signed or digitally signed by the lawful representative and submitted through the NBNS within the statutory timeframe.

After the results are announced, only investors who participated in the bidding may submit petitions. These must relate to the evaluation of bids, must not be subject to litigation or other complaints, and must be accompanied by payment of petition resolution fees to the Standing Unit. Failure to pay within the prescribed period renders the petition inadmissible.

Procedures for settlement

Petitions lodged before results must be submitted before bid closing or before the result announcement, and the procuring entity must respond within seven working days. If the investor is unsatisfied, the petition may be escalated to the competent authority within five days.

Petitions concerning the results must be filed within ten days of publication, and the procuring entity has seven working days to reply. If no resolution is reached, the petition can be escalated to the Standing Unit of the Petition Settlement Council. The Council is required to review the matter within twenty days and report to the competent authority, which must issue a decision within five working days.

In urgent cases, contract signing may be suspended. All resolution documents must state clearly whether the petition is valid and, if so, specify remedies and corrective measures. Petitioners may withdraw their petition at any stage, and if they are unsatisfied with the outcome, they retain the right to seek further court proceedings.

Other notable updates

Exemptions from competition safeguards

Decree 225 introduces an exemption from competition requirements for two special cases: directly-appointed investors and projects selected under “special circumstances”.

Projects where investors are appointed directly under Article 34(2a) of the Bidding Law include:

• Projects proposed by investors holding ownership or usage rights to strategic technology;
• Projects that necessitate ongoing selection of a previous investor who has already developed digital infrastructure and platforms to ensure technical compatibility, synchronization, and connectivity; and
• Business investment projects that require acceleration to foster socio-economic development and protect national interests, as proposed by the investor, in line with government regulations.

Projects classified under “special circumstances” as specified in Article 34a of the Bidding Law include:

• Projects needed for national defense, security, foreign affairs, territorial borders, national interests, or implementing the State’s political tasks;
• Projects that require awarding contracts or assigning tasks for strategic sectors or investments in key, nationally significant development sectors of science, technology, and innovation; and
• Projects with specific investment procedures, investor selection, land allocation or leasing, marine area allocation, or other special conditions that make standard investor selection methods in Clauses 1, 2, and 2a, Article 34 of this Law unsuitable for project implementation.

In these instances, investors are not required to meet competition safeguards stipulated in Decree 23.

New incentives for investors

The decree expands preferential treatment, particularly for technology-oriented firms and foreign investors committing to technology transfer:

• Tech enterprises and startups: An additional 5 percent bonus in bid evaluation; and
• Foreign investors with technology transfer commitments: An additional 2 percent

This marks a departure from earlier regulations, which did not extend special incentives to these groups.

Removal of experience criteria

By removing the word “experience” from various provisions of Decree 23 and Decree 115, Decree 225 has shifted the experience requirement from being mandatory to optional in investor evaluations. This will have the following implications:

• Assessment criteria now focus solely on capacity (financial, technical, human resources); and
• Past experience is optional. Investors may submit supporting evidence, but it is no longer required.

Expanded scope of “special circumstance” projects

Decree 225 revises rules for projects eligible under the “special circumstances” category outlined under Decree 115. The new list comprises:

• Urgent projects: Expanded to include provincial-level Party and People’s Council resolutions;
• Infrastructure connectivity: Broadened to cover additional local authorities;
• Nuclear energy and offshore wind: Classified as eligible, with offshore wind only when no alternative is feasible; and
• Other projects: A general clause allows inclusion of projects where no other selection method is suitable.

Revised selection procedures

New rules under Decree 225 streamline procedures in projects prescribed as special circumstances, requiring fewer approvals. The responsibilities are delegated as follows:

• National Assembly/Prime Minister projects: Assigned to specialized agencies for evaluation and decision-making;
• Provincial projects: Provincial People’s Committees handle both approval and investor selection; and
• Urgent security/economic projects: Detailed evaluation now required by the Ministry of National Defense and the Ministry of Public Security.

The decree also formalizes provisions on negotiations, contract signing, and land allocation without auction.

Direct appointment of investors

Decree 225 introduces clearer rules for direct investor appointment in specific cases, including:

• Projects involving strategic or high-tech innovation technologies;
• Projects requiring continuity with existing digital infrastructure;
• Urgent national-interest projects, such as disaster recovery or events of national importance; and
• Urban development projects under Transit Oriented Development (TOD) within national railway corridors.

Authorities are now required to report annually on the performance of directly appointed projects to the Ministry of Finance and the Prime Minister.

New procedures for investor appointment

Decree 225 introduces additional procedures for the direct appointment of investors, outlined under Clause 18, Article 2. Two separate processes are now recognized: the standard procedure and the simplified procedure, depending on how the project is initiated.

Takeaway

Decree 225 represents a significant step forward in Vietnam’s investment landscape, fostering greater transparency and efficiency in the bidding process. By implementing mandatory online investor selection and establishing a structured petition settlement system, the decree enhances accountability and fairness.

Businesses should prepare for these changes to optimize their bidding strategies and ensure compliance, positioning themselves favorably in Vietnam’s evolving investment environment.