- Vietnam launches student loan program to support higher studies in STEM fields across universities, vocational schools & research institutions
- Loans cover tuition, living expenses (up to VND 5M/month), with 4.8% annual interest, no collateral for amounts up to VND 500M
- Program aims to expand access to STEM education, boost academic excellence, and align student opportunities with Vietnam’s tech-driven growth goals
Vietnam has unveiled a new loan program that will assist students seeking higher studies in science, technology, engineering, and mathematics (STEM) subjects. Through this ruling, students enrolled at universities, vocational schools, and other legally constituted educational institutions within the national system are eligible to apply for loans covering tuition charges, living allowances, and other associated study expenditures.
The initiative expands coverage to undergraduate, master's, and doctoral students, and the fields vary from life sciences, natural sciences, engineering, architecture, and computer science to financial technology and other priority technology areas as recognized by the government.
There are academic requirements that must be met in order to qualify. First-year students must have attained a 'Good' or better in all three years of secondary school or obtained at least an average of 8.0 in Grade 12 in core subjects such as Mathematics, Physics, Chemistry, and Biology. For existing students, advancement is contingent on performance, with those from the second year and beyond required to have an overall 'Excellent' performance in the previous year of study. Master's and doctoral students are required to be formally certified by their own institutions.
Candidates are also required to submit information declaration forms, obtain certification from their institutions, and submit required documents to Vietnam Bank for Social Policies (VBSP), the program's implementing agency. The loan provides full tuition fees, which are adjusted for scholarships or other support, along with living and study expenses up to VND 5 million (around USD 197) per month.
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VBSP and borrowers make the final amount based on personal needs. Loans have an interest of 4.8 percent annually, with overtures in arrears charged with 130 percent of the basic rate. Installments are paid for disbursements and go on throughout the duration of the course, except for approved leave. Repayments start 12 months after graduation, with moderate installment repayments and the option for early redemption without charges.
Loans are extended via households, with representatives of the family overseeing the terms, though otherwise-ineligible students can borrow for themselves. Collateral is not needed for the first VND 500 million (approximately USD 19,700), but larger amounts need security under current legislation. By providing low-cost financing with transparent repayment arrangements, the program aims to increase access to education in STEM fields, promote academic success, and provide students with opportunities that are in line with the nation's economic and technological long-term goals.
