What are the conditions for establishing a private higher education institution in Vietnam?

What are the conditions for establishing a private higher education institution in Vietnam?

According to Clause 1, Article 22 of the Higher Education Law 2012 (amended and repealed by Clause 16, Article 1 and Clause 2, Article 2 of the Amended Higher Education Law 2018), a private higher education institution is allowed to be established when the following conditions are met:

- Have an establishment project in line with the approved higher education institution network planning;

- Have written approval from the provincial People's Committee where the main office of the higher education institution is located regarding the establishment and confirmation of land use rights;

- Have confirmation of financial capability for investing in the construction of the higher education institution from a competent authority;

- Foreign-invested higher education institutions must also meet other conditions as prescribed in the Investment Law 2020.

What are the conditions for establishing a private higher education institution? (Image from the Internet)

Who has authority to permit the establishment of a private higher education institution in Vietnam?

Clause 1, Article 88 of Decree 46/2017/ND-CP stipulates the procedures for establishing public higher education institutions or permitting the establishment of private higher education institutions as follows:

Procedures and documentation requirements for establishment of a public higher education institution, or approval of establishment of a private higher education institution

1. The Prime Minister shall have authority to issue the decision on establishment of a public higher education institution, or approval of establishment of a private higher education institution.

2. A higher education institution shall be established by taking two following steps:

a) Approve the policy on establishment or approval of establishment of the requesting institution;

b) Issue the decision on establishment or approval of establishment of the requesting institution.

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Thus, the authority to permit the establishment of private higher education institutions belongs to the Prime Minister of the Government of Vietnam.

What documents are required for approval of the policy on the establishment of a private higher education institution in Vietnam?

According to Clause 3, Article 88 of Decree 46/2017/ND-CP, the documents required for approval of the policy on the establishment of a private higher education institution in Vietnam include:

- A submission for approval of the policy to allow the establishment from an organization or individual for private higher education institutions;

- A written document from the provincial People's Committee approving the establishment of the higher education institution in the locality. The document should clearly state:

+ The necessity and appropriateness of establishing the higher education institution in line with the local socio-economic development plan;

+ The policy on land allocation or lease for higher education institution construction, location of the land site, and the locality’s capacity for cooperation and facilitation for the construction and development of the higher education institution; legal documents on land use rights (if any);

- Scheme for the establishment of the higher education institution;

- For private higher education institution establishment documents, in addition to the documents mentioned in points a, b, and c of Clause 3, Article 88 of Decree 46/2017/ND-CP, the documents must include the following as guided by the Ministry of Education and Training:

+ List of founding members;

+ Minutes of the appointment of a representative to establish the higher education institution from the contributing members;

+ Commitment of capital contribution for the higher education institution construction from individuals or organizations and consent from the representative appointed to establish the higher education institution;

+ List of shareholders committing to contributing capital;

+ Minutes of capital contribution agreement.

What are the procedures for submission of application for the Prime Minister’s decision on establishment of a private higher education institution in Vietnam?

According to Clause 6, Article 88 of Decree 46/2017/ND-CP, the procedures for submission of application for the Prime Minister’s decision on establishment of a private higher education institution in Vietnam include:

Step 1: Submission of documents

The project owner submits directly or by post 01 set of documents to the Ministry of Education and Training.

Documents include:

- The written approval of the policy to permit the establishment of the private higher education institution from the Prime Minister of the Government of Vietnam;

- A copy issued from the original register, a certified copy from the original, or a copy with the original for comparison of the investment certificate for the establishment of the private higher education institution issued by the provincial People's Committee;

- Legal documents confirming land use rights or documents from competent authorities on land allocation or lease for 50 years or more for higher education institution construction, detailing the location, boundaries, address, and area of the land where the main office of the higher education institution is located;

- Approved construction planning and overall design of the higher education institution by the provincial People's Committee;

- A detailed report on the implementation status of the Investment Project for higher education institution establishment from the Project Management Board, along with the opinion of the provincial People's Committee where the main office of the higher education institution is located;

- Proposed training sectors, management personnel, and training scale;

- Legal documents confirming the investor's capital by the project management board in charge of management.

Step 2: Review, amend, supplement, and appraise documents

Within 15 working days from the date of receipt of the documents, if they are incomplete as per regulations, the Minister of Education and Training must issue a written notice to the project owner for amendments and supplements;

For documents that are complete as per regulations, within 60 working days, the Ministry of Education and Training shall chair and cooperate with relevant agencies to organize document appraisal and on-site assessment to accurately evaluate the conditions and content of the project, complete the documents and send them to the Ministry of Planning and Investment, the Ministry of Finance, and the Ministry of Home Affairs for written opinions on projects that meet the conditions as stipulated, and issue a written notice to the project owner for projects that do not meet the conditions.

The actual appraisal of the project is conducted by an Appraisal Council comprising representatives from the Ministry of Education and Training, the Ministry of Planning and Investment, the Ministry of Home Affairs, the Ministry of Finance, and the provincial People's Committee where the higher education institution's main office is located.

The Appraisal Council is established by decision of the Minister of Education and Training and its task is to advise the Minister of Education and Training on the feasibility of the project to propose to the Prime Minister of the Government of Vietnam for review and decision;

Step 3: Complete the project document and submit it to the Prime Minister of the Government of Vietnam for decision

Within 30 working days from receiving all written opinions from relevant agencies and units, the Ministry of Education and Training compiles the opinions, completes the project documents, and submits it to the Prime Minister of the Government of Vietnam;

Note:

After 04 years from the effective date of the Prime Minister of the Government of Vietnam's Decision on permitting the establishment of the higher education institution, if the higher education institution does not meet the conditions to be allowed educational operations, the Minister of Education and Training shall report to the Prime Minister of the Government of Vietnam for a decision to annul the Decision permitting the establishment of the higher education institution mentioned above.

Simultaneously, the Ministry of Education and Training shall issue a written notice to the provincial People's Committee where the higher education institution is located to handle the revocation of the land use rights allocated for higher education institution construction according to authority.

In case the Decision permitting the establishment of the higher education institution expires, the State will recover the land in accordance with the current law on land; assets on the land will be handled according to current regulations.