How much can the price of services in education and training be increased per year in Vietnam?

What is the service price in the field of education and training in Vietnam?

Pursuant to Clause 1, Article 3 of Decree 81/2021/ND-CP, the service price in the field of education and training is the amount of money that service users must pay for each service in the field of education, training, and vocational education, including:

- Tuition fees (according to different levels and degrees of training);

- Prices of other services in the field of education and training, including:

+ Price of education quality accreditation services;

+ Fees for issuing various degree and certificate templates;

+ Service fees for supporting training, providing human resources through research to build strategies, policies, planning, and plans on human resource training according to social needs;

+ Prices of investigation, analysis, and forecasting services on human resource needs by connecting educational institutions with employers to leverage resources for human resource development training activities;

+ Prices of in-service training services for teachers and educational management staff;

+ Prices of consulting services for organizations and individuals in building plans, strategies for human resource development, participating in training to develop essential skills for learners;

+ Prices of services supporting educational and training activities.

How much can the price of services in education and training be increased per year in Vietnam? (Internet image)

How much can the price of services in education and training be increased per year in Vietnam?

Pursuant to Article 5 of Decree 81/2021/ND-CP, the regulations are as follows:

Principles for determining service prices in the field of education and training

1. Service prices in the field of education and training are determined according to the provisions of the law on prices and the regulations of the Government of Vietnam on the financial autonomy mechanism of public service providers.

2. Service prices in the field of education and training are adjusted according to a schedule that suits the quality of education and training services but the price increase rate is not more than 15% per year.

According to the regulations, educational institutions are allowed to adjust service prices in the field of education and training according to a schedule that suits the quality of education and training services but will not exceed 15% per year.

Thus, educational institutions can increase service prices in the field of education and training by not more than 15% per year.

What is the road map for calculating service prices in the field of education and training in Vietnam?

Pursuant to Article 7 of Decree 81/2021/ND-CP, the schedule for calculating service prices in the field of education and training is as follows:

- The schedule for calculating service prices in the field of education and training is implemented according to the Government of Vietnam's regulations on the financial autonomy mechanism of public service providers.

- Tuition fees are implemented according to the schedule for full cost calculation as stipulated in Articles 9, 10, and 11 of Decree 81/2021/ND-CP.

- Based on the State's education development policy and the actual situation of the locality, the Provincial People’s Committee submits to the Provincial People's Council for consideration and decision to allow preschools and general education institutions in areas with high private investment potential and preschools and general education institutions in universities, colleges, and research institutes to proactively implement full cost calculation in service prices corresponding to the quality of education and training; at the same time, they must ensure the objectives of compulsory education as stipulated by the Education Law 2019 and guiding documents.

How is the state management of service prices in the field of education and training in Vietnam regulated?

Pursuant to Article 4 of Decree 81/2021/ND-CP, state management of service prices in the field of education and training is regulated as follows:

- The Ministry of Education and Training, the Ministry of Labor - Invalids and Social Affairs preside, cooperate with the Ministry of Finance, relevant ministries and central authorities to perform state management functions on tuition fees and other service prices in the field of education and training:

+ Guide the process and develop, appraise, and issue economic-technical norms, methods of determining tuition fees and other service prices in the field of education and training applicable in the field of education and training according to management decentralization;

+ Decide on the method of assigning tasks, placing orders, and bidding to provide products and services in the field of education and training that are in the list of public service products using the state budget from the central budget according to the decentralized management field; decide on the price of ordered services in the field of education and training in the list of public services using the central budget according to the decentralized management scope.

- Ministries and ministerial-level agencies, within their tasks and powers:

+ Perform state management on tuition fees and other service prices in the field of education and training;

+ Issue economic-technical norms and cost norms or cooperate with the Ministry of Education and Training and the Ministry of Labor - Invalids and Social Affairs to develop and issue economic-technical norms relevant to special professional industries;

+ Decide on the method of assigning tasks, placing orders, and bidding to provide products and services in the field of education and training from the central budget;

+ Decide on the price of ordered services in the field of education and training in the list of public services using the central budget for services within the decentralized management scope.

- Provincial People’s Committees:

+ Perform state management on tuition fees and other service prices in the field of education and training;

+ Issue economic-technical norms and cost norms applicable in the field of education and training for services that do not yet have issued economic-technical norms within the local management scope;

+ Decide on the method of assigning tasks, placing orders, and bidding to provide products and services in the field of education and training;

+ Decide on the price of ordered services in the field of education and training in the list of public services using the local budget management, the Provincial People’s Committee presents to the Provincial People’s Council the framework or level of preschool and general education public tuition fees;

+ Detail the list of fees, collection rates, and the management mechanism of revenue and expenditure for auxiliary educational and training activities for public educational institutions within their management authority to apply locally.

- The head of educational institutions within the national education system must publicize, transparently explain to society the basis, method of determination, and calculation of service prices in the field of education and training for services determined by the institution, and report to the competent authority as prescribed.