Headlines 20/05/2026 10:22 SA

Vietnam’s Law on the Capital (Law No. 02/2026/QH16) to take effect from July 1, 2026

Trần Thanh Rin

On April 23, 2026, the 16th National Assembly of Vietnam passed the Law on the Capital 2026 (Law No. 02/2026/QH16), replacing the Law on the Capital 2024.

Specifically, the Law on the Capital 2026 provides for the position and role of the Capital; mechanisms, policies, powers, and responsibilities for the construction, development, and protection of the Capital.

Regarding the principles of delegation of powers and implementation of delegated tasks and powers for Hanoi Capital, Article 4 of the Law on the Capital 2026 provides as follows:

- To ensure conformity with the Constitution and consistency with international treaties to which the Socialist Republic of Vietnam is a signatory.

- To ensure thorough and comprehensive delegation of powers and clear delineation of the powers of the People’s Council, the People’s Committee, and the President of the People’s Committee of the City; based on practical conditions, the People’s Council, the People’s Committee, and the President of the People’s Committee of the City may decentralize to agencies, organizations, and individuals the continuous and regular performance of one or several tasks and powers assigned to them in accordance with the law, except where decentralization is prohibited by law. The delegation and decentralization of powers must not prejudice national defense, security, foreign affairs, ethnicity, religion, and other fields directly related to national sovereignty.

In addition to the tasks and powers prescribed in this Law, the People’s Councils, the People’s Committees, and the President of the People’s Committees at all levels of the City shall also perform other tasks and powers as prescribed by relevant laws.

- To ensure human rights, fundamental rights of citizens, social justice, sustainable development, and preservation of the cultural identity and values of the Capital and the Capital Region; not to adversely affect macroeconomic stability or national financial security; and to respect market principles.

- To ensure the operation of a unified, smooth, and effective national administrative system; to ensure transparency, accountability, and effective control of power, prevention, and combat against corruption, wastefulness, and negativity in association with the inspection, examination, and supervision responsibilities of competent authorities; and to establish mechanisms for monitoring, assessment, inspection, and timely adjustment of delegated powers where agencies, organizations, or individuals exercising delegated powers perform assigned tasks and powers ineffectively.

See more details in the Law on the Capital 2026 (Law No. 02/2026/QH16), effective as of July 1, 2026, except for the cases prescribed in Clause 4 Article 8 and Clause 6 Article 36 of this Law, which take effect from April 23, 2026.

From the date the Law on the Capital 2026 is passed, the development and promulgation of documents guiding the implementation of the Law on the Capital shall be carried out in accordance with this Law.

At the same time, the Law on the Capital 2024, amended by Law No. 47/2024/QH15, Law No. 55/2024/QH15, Law No. 57/2024/QH15, Law No. 58/2024/QH15, Law No. 71/2025/QH15, Law No. 72/2025/QH15, and Law No. 95/2025/QH15, shall cease to have effect from the effective date of the Law on the Capital 2026.

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