Businesses eye new openings with medical revision

Vietnam’s revised Law on Medical Examination and Treatment will soon take effect. What important factors should be considered to ensure its successful enforcement and align with international practices?

Qadeer Raza, chairman of the Medical Devices and Diagnostics Sector Committee under the European Chamber of Commerce in Vietnam

The revised law was passed and promulgated by the National Assembly and will take effect from January next year. Thus, there are only a few months left for the preparation and implementation of the new provisions.

We hope that the government, the Ministry of Health, and relevant departments will soon compile and issue implementing decrees and guiding circulars. Meanwhile, relevant laws and documents will be closely reviewed to ensure the consistency and synchronisation with the revised law.

The changes feature a raft of new regulations. How will the law leverage private investment?

The amended legislation plays a pivotal role that impact significantly to the people healthcare and wellbeing. We appreciate the National Assembly’s efforts in timely issuance of the revised law regulating directions to remove challenges, and enable people to access the best and quality medical treatment.

Many updates of the revised law are in place to support the health check and treatment activities. The revised law specifies the autonomy of public medical treatment facilities, and asserts that “public medical treatment facilities must ensure the financial security to perform their functions and tasks assigned by the governmental authorities.

Additionally, except for medical treatment pricing activities, the amended law empowers public medical treatment facilities in deciding the purchasing content and the amount of purchased goods as well as services related to medical examination, and treatment activities in service of patients and their caregivers.

The law also supplements regulations on resource mobilisation methods, medical devices, renting and letting out assets, clinical and near-clinical services, non-medical and pharmacy services, operation and management of medical treatment centres, deferred payments, and the rental of medical equipment.

However, for the new regulations of the amended law to be deployed promptly, we hope that the government and the Ministry of Health will soon issue implementing documents, especially those related to hospital autonomy and public health. Laws on medical insurance, bidding, and pricing are also required a close review to ensure the alignment with the amended Law on Medical Examination and Treatment.

Joint ventures and investment are special concerns among your members. How will the new law solve them?

The amended law has many new guidelines. In Clause 3 of Article 109, the law supplements multiple forms of purchase with deferred payment, instalment payment, rental and late payment of medical equipment into other forms that attract social resources in medical treatment activities. This will create a positive impact on our member companies and major changes to the people of healthcare.

With the new policy, hospitals and businesses can select an appropriate model for medical equipment investment. From there, modern medical equipment will be invested in, creating a favourable environment for the deployment of advanced techniques in medical treatment towards better disease diagnosis and treatment.

It will also remove obstacles for the reimbursement of health insurance costs related to screening and testing services performed via the placement and borrowing models to ensure the interests of patients.

Foreign investors expect enforcement of new medical examination legislation Foreign-invested enterprises are expecting better performance with the enforcement of the amended Law on Medical Examination and Treatment. Vu Tu Thanh, deputy regional managing director and Vietnam chief representative at the US-ASEAN Business Council, talked to VIR’s Tung Anh about the possible impacts on its members, and the expectations ahead.

Bringing the fresh air to healthcare The amended Law on Medical Examination and Treatment to come into effect from early 2024 is expected to have a significant impact on how related establishments conduct their day-to-day business. Ngo Thanh Hai, lawyer at LNT & Partners, analyses the notable changes and market impact.

New way out for medical investment While the problems related to the legal framework about joint venture and private investment engagement to be solved in the newly-adopted amended Law on Medical Examination and Treatment, bringing about new opportunities for businesses and health facilities, the enforcement will be the answer for long-year expectations.