Vietnam is set to undergo a major administrative restructuring, with plans to reduce the number of communes from 10,035 to approximately 2,000, according to Minister of Home Affairs Pham Thi Thanh Tra.
The reform aims to streamline governance and enhance efficiency by transforming each commune into a "small district" with expanded responsibilities.
Parliament to issue resolutions for urgent administrative restructuring
Standing Deputy Prime Minister Nguyen Hoa Binh chairs the first session on administrative restructuring. (Photo: VGP)
On March 14, Standing Deputy Prime Minister Nguyen Hoa Binh chaired the first session of the Steering Committee for Administrative Reorganization, discussing plans to restructure local government.
Justice Minister Nguyen Hai Ninh emphasized that Vietnam will revise the Law on Local Government Organization to clarify the division of responsibilities between provincial and lower-level authorities.
The National Assembly Standing Committee will then issue resolutions on governance structures, public administration policies, and personnel reorganization.
As part of this restructuring, certain legal and administrative procedures - such as land management, law enforcement, and public service delivery - will be adapted under Resolution 190/2025 to ensure smooth governance during the transition.
Addressing legal and financial concerns in the restructuring process
Environment and Agriculture Minister Do Duc Duy stressed the need for a National Assembly resolution to address urgent issues arising from the removal of district-level administration.
“Key administrative functions, such as land management, social welfare, education, and healthcare, have traditionally been handled at the district level. If districts are eliminated, we must amend multiple laws or risk major administrative bottlenecks,” Duy explained.
He recommended a two-phase approach:
In May 2025, the National Assembly should pass an initial resolution to manage immediate governance issues.
In October 2025, relevant laws - including the Land Law and the State Budget Law - should be formally amended to align with the new administrative structure.
Minister of Home Affairs Pham Thi Thanh Tra. (Photo: T.V.)
Nguyen Phuong Thuy, deputy chair of the National Assembly’s Law and Justice Committee, supported this phased approach, stressing that budget allocations must be restructured to give communes sufficient financial resources to handle expanded responsibilities.
Restructuring local governance: District-level responsibilities to be redistributed
Minister of Home Affairs Pham Thi Thanh Tra described the restructuring as a significant and complex national reform requiring urgent action.
“This is a massive task that must be executed quickly and effectively. The reorganization of communes and the elimination of district-level administration will require detailed planning and immediate implementation,” Tra stated.
Under the proposal:
One-third of district-level responsibilities will be transferred to provincial governments.
Two-thirds of district-level responsibilities will be assigned to communes, which will function as larger administrative units.
The new governance model will be finalized after a Politburo meeting in April, followed by consultations with provincial governments and national ministries.
Nationwide consultations and rapid implementation
Deputy Prime Minister Nguyen Hoa Binh commended the Ministry of Home Affairs for its early preparations, emphasizing the complexity and urgency of the task.
“This is an essential and time-sensitive reform that requires high-quality execution. Ministries, agencies, and local governments must take full responsibility for ensuring a smooth transition,” Binh stated.
The government will submit a formal proposal to the Politburo, outlining:
The redistribution of administrative duties across different levels of government.
The official designation of the new commune system.
The timeline for full implementation.
The Politburo is expected to approve the restructuring framework next week, with nationwide consultations among party organizations, ministries, and provincial governments to follow.