On 30 March 2026, the Government promulgated Decree No. 91/2026/ND-CP (“Decree 91”), providing detailed regulations and implementation measures for certain provisions of the Law on Higher Education. Notably, the provisions attracting particular attention from investors, university councils, and the management boards of higher education institutions are those governing the conditions for recognition as a “university”.
This recognition is not merely a change in nomenclature or organizational form. Rather, under Decree 91, it reflects a new benchmark in terms of scale, quality, research capacity, and financial governance. This is also a “strategic test” for higher education institutions positioning themselves in an environment of increasing autonomy and deepening international integration.
In this article, BLawyers Vietnam outlines 07 key issues that investors and educational institutions should take into account when considering strategic restructuring of higher education institutions.
1. Why is recognition as a university so important?
For many years, the term “university” in Vietnam has been used in a relatively broad and, at times, inconsistent manner, not always accurately reflecting the nature of a multidisciplinary and multi-sector higher education institution integrating education, research, and innovation.
Through Decree 91, the Government has shifted from a “designation-based” approach to a “conditional standardisation” approach by establishing a structured set of criteria governing the use of institutional titles and the recognition of the “university” model. The Decree provides a clearer framework on naming principles for higher education institutions, as follows:
- The name must ensure stability and long-term use;
- The use of the terms “university”, “university college” or “academy” must be consistent with the conditions for establishment, organizational structure, and operational model;
- The name must not cause confusion regarding institutional type, scope of operation, governing authority, training quality, or institutional standing;
- The name must not include words or phrases denoting titles or rankings; nor may it include words, symbols, or expressions identical or confusingly similar to those of state authorities, armed forces units, socio-political organizations, or other domestic or foreign educational institutions; and
- The term “national” may only be used in the case of a recognized national university; the term “international” may only be used where all programs across higher education levels are delivered in a foreign language, or the institution is wholly foreign-owned, or the institution is established pursuant to an international agreement between the Government of the Socialist Republic of Vietnam and a foreign government.
Importantly, these naming principles are not merely administrative requirements, they serve as a “first-level filter” to ensure that institutional titles accurately reflect operational substance. In doing so, the State is not only regulating formality but also progressively restructuring the higher education system towards clearer stratification and closer alignment with international standards.
From a strategic perspective, for higher education institutions, recognition as a university carries not only legal significance but also has a direct impact on branding, the ability to attract students and high-caliber faculty, as well as opportunities for international collaboration and access to long-term investment capital. The key question, therefore, is where your institution stands on this trajectory.
2. Legal conditions and ownership structure as the foundation for consensus
Under Decree 91, the first set of conditions for recognition as a university pertains to legal status and ownership structure, specifically:
- For public higher education institutions, any conversion or recognition must be approved by the competent supervising authority; and
- For private higher education institutions, the requirement is to obtain the consent of investors representing at least 75% of the total contributed capital.
This provision indicates that the State places particular emphasis on ownership stability and consistency in development orientation. In practice, many private higher education institutions encounter difficulties precisely at the stage of reaching consensus among investors. Is the current ownership structure of the Investor and the educational institution ready for this transition?
3. Faculty members as the core metric of quality
A key highlight of Decree 91 in relation to university recognition is the stringent set of requirements applicable to faculty members, including:
- The proportion of international faculty (including overseas Vietnamese, foreign nationals, and individuals holding foreign nationality) participating in the delivery of full-time academic programs must be at least 5% of the total number of full-time faculty members, calculated on an annual 12-month cycle; and
- In addition, at least 60% of full-time faculty members must hold doctoral degrees. This is not merely a quantitative threshold, but reflects the institution’s long-term academic development strategy.
Attracting and retaining highly qualified and international faculty requires competitive human resources policies, financial capacity, and a robust academic environment. At the same time, compliance with applicable work permit and immigration requirements for foreign employees must also be ensured.
4. Organizational structure, scale, and academic portfolio a systems approach
Pursuant to Decree 91/2026, in order to be recognized as a university, a higher education institution must satisfy the following requirements in terms of organization, scale, and academic structure:
- Having at least 03 constituent schools within its organizational structure that meet the prescribed criteria;
- Maintaining a minimum of 25 academic programs at each level of higher education that are lawfully in operation;
- In terms of scale, having no fewer than 15,000 full-time enrolled students, of which postgraduate students must account for at least 20%; and
- Ensuring that international students constitute at least 3% of the total student body.
These figures indicate that the State is steering the university model toward international standards, with an emphasis on postgraduate education and internationalization.
5. Scientific research and innovation: An indispensable pillar
Under Decree 91, on average, each full-time faculty member must produce at least one scientific, technological, or innovation output per year, which may include a publication indexed in Web of Science or Scopus, a published book, or a granted patent or utility solution certificate.
Notably, revenue derived from science, technology, and innovation activities must account for at least 20% of the institution’s total operating revenue. This provision shows that the State no longer regards scientific research as a supplementary activity, but rather as a financial resource and a driving force for the sustainable development of university.
6. Financial capacity and the requirement for 03 years stability
In addition to academic and organizational criteria, Decree 91/2026 requires higher education institutions to maintain lawful and stable revenue sources sufficient to ensure financial autonomy in covering recurrent expenditures, while also ensuring financial transparency, including public disclosure and annual audits of financial statements in accordance with applicable regulations.
Importantly, the requirements relating to faculty, organizational structure, training scale, as well as research and innovation, must be maintained consistently for at least 03 consecutive years, calculated up to 31 December of the year immediately preceding the year of application. This effectively eliminates any short-term, “checklist driven” compliance approach and compels institutions to undertake substantive, long-term investment.
7. Strategic considerations for investors and university councils
From a legal perspective, Decree 91 is not merely an implementing instrument but also serves as a regulatory filter and a catalyst for restructuring the higher education system. For investors, this is an opportune moment to reassess ownership structures, capital strategies, and governance models. For university councils and executive management, it is time to address fundamental strategic questions: is the institution genuinely pursuing a true university model?
Decree 91 establishes a new, higher, and more clearly defined “university standard”. Recognition as a university is no longer merely titular, but the outcome of a structured and sustained investment in human capital, academic excellence, financial capacity, and governance. In an increasingly competitive and integrated environment, institutions that prepare early and adopt the right strategic direction will secure long-term advantages.
Legal support from BLawyers Vietnam
BLawyers Vietnam can provide support in:
- Conducting a comprehensive review of legal conditions, ownership structures, and organizational models of investors and educational institutions;
- Advising on compliance strategies and preparation of application dossiers for university recognition under the new regulatory framework; and
- Advising on related legal matters, including investment, labor, personal data protection, and general compliance with the laws of Vietnam.
The above is not official advice from BLawyers Vietnam. If you have any questions or suggestions about the above, please contact us at info@blawyersvn.com. BLawyers Vietnam would love to hear from you.
Date: 22 May 2026
Writer: Ha Le
