Ministry of Health proposes raising social assistance and pension standards to 600,000 VND per month (up 20%)

The Ministry of Health has proposed raising Vietnam’s social assistance and social pension standard to 600,000 VND per month, an increase of 20%, while also drafting additional provisions to support elderly people who have caregivers but lack financial means or health capacity. The Ministry is preparing a Decree to amend and supplement several provisions of Decree 20/2021, which guides social assistance policies for social beneficiaries, as amended by Decree 76/2024.

Current standard seen as too low and misaligned with other benchmarks

The Ministry said the current social assistance standard under Decree 20/2021, Decree 176/2025 and Decree 76/2024 remains “very low,” failing to ensure a minimum living standard and lacking parity with social insurance policies, poverty reduction measures, or preferential treatment for people with meritorious services.

Specifically, the current level of 500,000 VND per month is equivalent to 22.7% of the rural poverty line and 17.8% of the urban poverty line under the new regulations. Under Decree 351/2025, the rural poverty line is 2.2 million VND per month and the urban poverty line is 2.8 million VND per month.

The Ministry also pointed to rising costs. It cited CPI growth in 2024–2026 of more than 3.5% per year, expected to approach 12% over three years, with food prices rising faster. Keeping social allowances at current levels, it said, would make beneficiaries’ living standards increasingly difficult.

Gaps in living cost standards and support for social welfare facilities

Beyond the allowance level, the Ministry said the policy framework still has major gaps in living cost standards, care, and living expenses for social beneficiaries.

It noted that there is no uniform regulation on detailed living cost standards, including clothing, personal items, health care, education, rehabilitation and recreation. It also said there are missing standards for investment in infrastructure, repairs, and procurement of equipment for social welfare facilities that support care, treatment and rehabilitation for beneficiaries.

According to the Ministry, the absence of these legal bases leads to inconsistent budget allocations across localities and facilities, creating difficulties for budgeting and settlement. Adding these standards, it said, is urgent to standardize minimum care conditions, improve rehabilitation quality, and support social beneficiaries’ community integration.

Proposal: raise the social assistance and social pension standard to 600,000 VND/month

The draft Decree proposes increasing the social assistance and social pension standard from 500,000 VND per month to 600,000 VND per month, up 20%.

The Ministry said the current 500,000 VND per month is the lowest level in the social protection system. It also argued that even an 8% increase to 540,000 VND per month would still reach only 25% of the rural poverty line and less than 20% of the urban poverty line.

To align with the roadmap for raising social assistance and social pension standards relative to other social policies, the Ministry said the draft aims to promote equity among groups facing special difficulties and avoid leaving any group behind. It added that, depending on budget balance, inflation and beneficiaries’ living conditions, competent authorities may adjust the increases to ensure policy coherence.

The Ministry said the proposed 600,000 VND/month standard would increase the share of households meeting poverty lines to 27.3% for rural areas and 21.4% for urban areas. It described the change as helping formalize the constitutional right to social security by enabling beneficiaries to afford essential needs and narrowing gaps between social protection policies.

Additional support for elderly people with caregivers but limited means or health capacity

The draft Decree also includes provisions for elderly people who have caregivers but lack financial means or health capacity. The Ministry said this addition essentially continues the group already covered under Decree 136/2013, rather than creating a sudden expansion of beneficiaries nationwide.

It said that in practice, 10 out of 34 centrally administered provinces and cities have already issued special policies to continue supporting this group during 2021–2025. In that context, the Ministry said the revised Decree mainly aims to standardize the legal framework without imposing new budgetary pressure on the state.

The Ministry added that the number of elderly people in poor households who also have caregivers and lack economic or health capacity is a very small share and is expected to decline due to ongoing poverty reduction efforts and expanding social insurance coverage.

Eligibility determination, it said, will be carried out carefully based on local on-site checks to ensure coverage is appropriate and supported, without creating new administrative costs. Funding will be balanced within regular annual budget allocations for social protection to maintain feasibility and long-term sustainability.

Public consultation

The Ministry said it is seeking public input on the draft through the Ministry’s electronic information portal.