Việt Nam to see private and foreign-invested hospitals mushrooming

First of all, many barriers in private medical activities in Việt Nam will be removed  when special tax incentives are applied to healthcare enterprises in line with the Law on Enterprise Income Tax which will come into effect next year.

Accordingly, these enterprises will enjoy an enterprise income tax rate of 10% (currently 28%) during their operation. Newly established enterprises will be granted with a tax exemption for at least four years and a 50% tax reduction in the following nine years.

Besides, the Vietnamese Government has issued many preferential policies on land and investment, especially the Decree on encouraging non-public health services providers.

Some projects to invest, expand, and build hospitals are even lent with 70% of the total capital.

During the past years, the Vietnamese Government has approved many policies to facilitate the development of healthcare. Private investors are encouraged to engage in high-benefit health activities such as building polyclinics and providing hi-tech testing services.

From early this year, foreign investors have registered to open 35 consulting rooms and 8 hospitals, raising the numbers of private hospitals and consulting rooms in Việt Nam to over 70 and 30,000 respectively.

By Ngọc Vân