Breakthrough in institutions creates space for development

With the guiding principle of “serving the people,” every decision and activity of ward-level authorities will aim to improve the quality of life for citizens.

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The National Assembly votes to adopt amendments to the Law on Enterprises. (Photo: VNA)

Hanoi (VNA) - With the guiding principle of “serving the people,” every decision and activity of ward-level authorities will aim to improve the quality of life for citizens.

The ninth session of the 15th National Assembly was a historic one. With overwhelming consensus, deputies approved amendments to the Constitution and the revised Law on the Organisation of Local Government, officially transforming the governance model from three tiers to two – provincial and commune levels. This is an unprecedented, breakthrough decision in both organisational thinking and state administration.

As National Assembly Chairman Tran Thanh Man said in his closing remarks on June 27, the decisions and laws adopted at this session are revolutionary, marking the start of fundamental institutional reform and setting the direction for the country’s new phase of development.

Amending the Constitution and restructuring provincial-level administrative units not only opens up new space for socio-economic growth but also allows businesses to better harness regional and geographical advantages, drive innovation, and accelerate the shift to a green and sustainable growth model. Crucially, the streamlining of administrative layers reduces costs, enhances efficiency, and creates opportunities for digital governance, data-based management and direct administration in place of paper-based bureaucracy.

Reorganising administrative boundaries and implementing the new two-tier local government system is an objective necessity for national development in the era of globalisation, digital transformation and the Fourth Industrial Revolution. It is also a golden opportunity to renew leadership thinking, reform state management, apply science and technology, improve national governance and strengthen services for the people.

Institutional reform was the most significant highlight of the ninth session. By unblocking systemic bottlenecks, a leaner, more effective local government structure will serve as a lever to better support both citizens and businesses, enabling them to contribute more to national development in the new era.

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Staff at Hanoi Public Administration Service Centre (Photo: Minh Son/Vietnam+)

Nguyen Tien Thang, Deputy Secretary-General of the Vietnam Private Business Association, said the streamlined apparatus would reduce unnecessary intermediaries and procedures, improving services for enterprises.

For businesses, the two-tier model offers clear benefits. Currently, launching a project often requires navigating multiple administrative levels and agencies, wasting time and resources. Under the new model, fewer intermediaries and centralised processing will shorten procedures for investment, construction, land use and environmental approvals, allowing companies to access public services more quickly and make business decisions faster.

A “friendly, people-oriented government” remains the highest goal of the Party and State. Commenting on this, Vu Ngoc Viet, Secretary of Dong Da ward’s Party Committee, stressed that after reorganisation, the spirit of “new thinking – new action – serving the people” must be expressed in concrete deeds, not just slogans.

Nguyen Quang Trung, Secretary of Vinh Tuy ward’s Party Committee, said the new ward-level administration would lead in innovation, embracing new methods and ideas to improve its work, promptly address grassroots issues, and encourage local creativity to foster development.

Particularly, he emphasised the determination to build a lean, efficient apparatus by reviewing and reorganising structures scientifically, eliminating redundant procedures and ensuring clarity in the responsibilities of every official.
“Our guiding principle is ‘serving the people.’ Every decision and every activity of ward authorities must aim to improve people’s lives. We are committed to listening, understanding, sharing and promptly addressing legitimate concerns; strengthening dialogue; ensuring transparency; and enabling the public to know, discuss, monitor and benefit from all policies,” he said./.

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