University Tuition Fees in Vietnam May Rise 10%/Year

Tuition fees at Vietnamese universities and colleges may spike up 10% a year starting next academic year, local media reported Sept 25 citing a draft document on new ceiling tuition fees made by the Ministry of Education and Training (MOET). The new regulation aims to supplement Decree 49 dated in 2010 on tuition fee collection and exemption at state-run education establishments. The decree has expired after the end of the 2014-2015 school year. Under the draft proposal, tuition fees for three groups of majors will be raised by 10% a year from the ceiling rate of the previous academic year. The fees will range between VND605,000 and VND880,000 a month starting this school year. As of now, many universities and colleges have not raised their tuition fees. Huynh Thanh Hung, vice principle at Ho Chi Minh City University of Agroforestry, said that at the 10% annual hike, by 2021 the tuition fees at his school will reach VND9.7 million-VND14 million a student a year. As such, the school is waiting for official guidelines from the ministry. In its proposal, the MOET also sought the government’s permission to let universities to be financially independent. This type of university can set the tuition fees at maximum VND17.5 million for an economics major for a 10-month academic year and at most VND45 million a year for a medical student. Vietnam has more than 400 universities and colleges. The government is estimated to spend VND224.826 trillion (about $10 billion) on education and training in 2015, equal to approximately 20% of the state budget expenditure for this year or 5% of the  gross domestic product (GDP) recorded in 2014. (Ha Noi Moi – News Hanoi Sept 25 p1, Tien Phong – Pioneer Sept 25 p6)