LEGAL UPDATES | Resolution 66.18/2026/NQ-CP: Administrative Procedure Reduction – What Should Businesses Note?

On May 18, 2026, the Government issued Resolution No. 66.18/2026/NQ-CP to continue simplifying administrative procedures and business conditions across various sectors. Most provisions will take effect from July 1, 2026, with some content being applied immediately from May 20, 2026.

A notable point of the Resolution is not only the abolition of many licensing procedures but also a shift in state management methods: from pre-inspection to post-inspection, enhancing businesses' self-compliance responsibility instead of relying on a pre-approval mechanism before operation.

1. Increased Threshold for Economic Concentration Notification

One of the significant changes is the doubling of the thresholds for economic concentration notification for M&A transactions.

Criteria regarding:

• Total assets in Vietnam;
• Total revenue;
• Transaction value;

are all doubled compared to previous regulations, while the 20% combined market share threshold remains unchanged.

Significance

Many medium-sized M&A deals will no longer be required to undergo pre-transaction notification procedures, which helps to:

• shorten transaction completion time;
• reduce legal costs;
• create more favorable conditions for investment activities and corporate restructuring.

2. Abolition of Licenses in the Labor Sector

Labor Leasing

Businesses are no longer required to obtain an operating license.

However, they must still:

• maintain a deposit;
• fulfill notification obligations;
• submit periodic reports;
• ensure employee benefits;
• be subject to post-operation inspection and examination.

Employment Services

This sector sees stronger reforms as it:

• abolishes the license requirement;
• abolishes the deposit requirement.

Instead, businesses must:

• disclose information;
• update recruitment data;
• submit periodic reports;
• manage labor data according to regulations.

3. Simplification of Business Conditions for Alcohol and Tobacco

Resolution 66.18 significantly reduces the types of licenses in the production and business chain.

For Tobacco

Abolishes requirements for:

• tobacco business license;
• retail license;
• license for investing in tobacco cultivation.

For Alcohol

Many licenses are abolished, including:

• distribution;
• wholesale;
• retail;
• industrial alcohol production;
• artisanal alcohol production for business purposes.

Concurrently, some business conditions and penalties related to operating without a license are also removed.

4. Simplification of Fire Prevention and Fighting Procedures

Some procedures after the design appraisal stage are abolished, including:

• acceptance testing for fire prevention and fighting;
• some procedures related to resuming operations.

However, businesses must still fully meet technical requirements and fire safety standards; the reduction of procedures does not imply a reduction in legal responsibility.

5. Expanding Autonomy in Education with Foreign Elements

Educational institutions will no longer be required to perform many procedures for:

• approval;
• extension;
• amendment;
• termination

for joint training activities or organizing foreign language certificate examinations with foreign elements.

This simplification allows educational institutions greater autonomy in international cooperation but still requires them to ensure training quality conditions and information disclosure obligations as regulated.

OPLAW Insight

Resolution 66.18 is not merely about abolishing licenses, but reflects a trend of administrative reform towards:

• reducing pre-inspection;
• increasing post-inspection;
• enhancing businesses' self-compliance responsibility.

This means that businesses can save time and costs in market entry, but at the same time must build more effective compliance management systems to meet reporting, information disclosure, and post-operation inspection requirements.

For businesses engaged in M&A, human resource services, alcohol and tobacco trade, construction, or education, this is a crucial time to review all legal processes to leverage the positive changes from the Resolution and mitigate compliance risks during the transition period.

Correct. The previous article was still in the style of a short legal update. Following the OPLAW style, the article should have more value than just "reading the resolution". Readers need to know:

• What were the old regulations?
• Where do the new regulations change?
• Which businesses are affected?
• What should be done immediately?
• What are the risks if misunderstood?

That's content that builds expertise and attracts clients.

For example, OPLAW would write in the following format:

LEGAL UPDATES

Resolution 66.18/2026/NQ-CP: A Series of Licenses Abolished from July 1, 2026 – Businesses "Unfettered" but Should Not Be Complacent

On May 18, 2026, the Government issued Resolution No. 66.18/2026/NQ-CP on reducing and simplifying administrative procedures and business conditions. This is considered one of the strongest reform waves in recent years, with many business licenses abolished and a significant shift in management mechanisms from "pre-approval" (pre-inspection) to "self-responsibility and post-inspection".

However, businesses should note that abolishing licenses does not mean abolishing legal obligations. In many cases, businesses must still meet business conditions, implement reporting regimes, disclose information, and be prepared for future inspections and examinations.

1. M&A to benefit greatly from doubled economic concentration notification thresholds

One of the most notable changes is the doubling of economic concentration notification thresholds.

Criterion	Before 01/7/2026	From 01/7/2026
Total assets in Vietnam	3,000 billion	6,000 billion
Revenue	3,000 billion	6,000 billion
Transaction value	1,000 billion	2,000 billion
Combined market share	20%	20%

 

What does this mean?

Many transactions:

• M&A;
• share purchases;
• joint venture establishments;
• group restructuring

will no longer be required to undergo pre-notification procedures with the competition authority, if they do not exceed the new thresholds.

Benefits for businesses

• Reduced transaction completion time.
• Savings on legal and consulting fees.
• Reduced risk of transaction delays due to waiting for approval.

This is a positive signal for the investment and M&A market in the coming period.

2. Employment services and labor leasing: No longer requiring licenses but still subject to compliance

This sector benefits greatly from the reforms.

For labor leasing businesses

No longer required to:

• apply for a license;
• renew;
• re-issue a license.

However, businesses must still:

• deposit 2 billion VND;
• notify operations;
• submit periodic reports;
• ensure employee benefits;
• be subject to inspection and examination.

For employment service businesses

Changes are even more significant as:

✔ Licenses are abolished.

✔ The deposit obligation is also abolished.

Businesses only need to:

• notify operations;
• disclose information;
• update recruitment data;
• submit periodic reports;
• manage labor data in accordance with regulations.

OPLAW notes

This is a typical example of shifting from pre-inspection to post-inspection.

If businesses think that "no license means they can do anything," this is a very dangerous misconception, as regulatory agencies still have the right to inspect and penalize violations if businesses do not meet the conditions during operation.

3. Alcohol and tobacco industries: Significant reduction in business licenses

Two industries that were previously subject to very strict regulation have also been significantly simplified.

For tobacco

The Resolution abolishes many types of licenses such as:

• tobacco business licenses;
• retail licenses;
• tobacco cultivation investment licenses.

For alcohol

No longer requiring licenses for:

• distribution;
• wholesale;
• retail;
• industrial alcohol production;
• craft alcohol production for business purposes.

At the same time, many business conditions have also been removed.

What businesses need to note

The abolition of licenses does not mean business without conditions.

Regulations on:

• product quality;
• food safety;
• product labeling;
• special consumption tax;
• traceability

will still be applied according to specialized legal documents.

4. Fire prevention and fighting: Fewer procedures but no less responsibility

The Resolution eliminates some procedures related to:

• FPC acceptance;
• restoration of facility operations;
• some procedures after the design appraisal stage.

However, investors must still:

• prepare design documents;
• ensure technical standards;
• maintain safety conditions throughout the operation process.

In other words, procedures are reduced but safety standards remain unchanged.

5. Education with foreign elements: Increased autonomy

Schools, educational institutions, and international examination organizations will no longer be required to seek:

• approval;
• amendment;
• renewal;
• termination

for many joint training activities with foreign partners.

This significantly shortens the time to implement international cooperation programs, but educational institutions must still ensure training quality, disclose information, and protect learners' rights.

OPLAW Insight

The most notable point of Resolution 66.18 is not the number of licenses abolished, but the change in management mindset.

Previously, businesses had to prove they met conditions before being allowed to operate. Under the new direction, the State reduces pre-inspection procedures, facilitating faster market entry, but at the same time places more compliance responsibility on businesses through post-inspection mechanisms, reporting, and information disclosure.

OPLAW's Recommendation: Businesses should review the licenses they currently use, assess procedures that are no longer applicable, and update their internal compliance management systems to align with the new management model. Properly understanding these changes will help businesses leverage reform opportunities while mitigating legal risks during operations.

Frequently Asked Questions

What should readers know about LEGAL UPDATES | Resolution 66.18/2026/NQ-CP: Administrative Procedure Reduction – What Should Businesses Note??

The Government's Resolution No. 66.18/2026/NQ-CP, issued on May 18, 2026, aims to simplify administrative procedures and business conditions, effective from July 1, 2026. This Resolution increases the threshold for economic concentration notification, abolishes many licenses in the labor sector, simplifies business con

What should readers know about LEGAL UPDATES | Resolution 66.18/2026/NQ-CP: Administrative Procedure Reduction – What Should Businesses Note??

The Government's Resolution No. 66.18/2026/NQ-CP, issued on May 18, 2026, aims to simplify administrative procedures and business conditions, effective from July 1, 2026. This Resolution increases the threshold for economic concentration notification, abolishes many licenses in the labor sector, simplifies business con

What should readers know about LEGAL UPDATES | Resolution 66.18/2026/NQ-CP: Administrative Procedure Reduction – What Should Businesses Note??

The Government's Resolution No. 66.18/2026/NQ-CP, issued on May 18, 2026, aims to simplify administrative procedures and business conditions, effective from July 1, 2026. This Resolution increases the threshold for economic concentration notification, abolishes many licenses in the labor sector, simplifies business con

What should readers know about LEGAL UPDATES | Resolution 66.18/2026/NQ-CP: Administrative Procedure Reduction – What Should Businesses Note??

The Government's Resolution No. 66.18/2026/NQ-CP, issued on May 18, 2026, aims to simplify administrative procedures and business conditions, effective from July 1, 2026. This Resolution increases the threshold for economic concentration notification, abolishes many licenses in the labor sector, simplifies business con

What should readers know about LEGAL UPDATES | Resolution 66.18/2026/NQ-CP: Administrative Procedure Reduction – What Should Businesses Note??

The Government's Resolution No. 66.18/2026/NQ-CP, issued on May 18, 2026, aims to simplify administrative procedures and business conditions, effective from July 1, 2026. This Resolution increases the threshold for economic concentration notification, abolishes many licenses in the labor sector, simplifies business con

What should readers know about LEGAL UPDATES | Resolution 66.18/2026/NQ-CP: Administrative Procedure Reduction – What Should Businesses Note??

The Government's Resolution No. 66.18/2026/NQ-CP, issued on May 18, 2026, aims to simplify administrative procedures and business conditions, effective from July 1, 2026. This Resolution increases the threshold for economic concentration notification, abolishes many licenses in the labor sector, simplifies business con

What should readers know about LEGAL UPDATES | Resolution 66.18/2026/NQ-CP: Administrative Procedure Reduction – What Should Businesses Note??

The Government's Resolution No. 66.18/2026/NQ-CP, issued on May 18, 2026, aims to simplify administrative procedures and business conditions, effective from July 1, 2026. This Resolution increases the threshold for economic concentration notification, abolishes many licenses in the labor sector, simplifies business con

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