Delineating Competences and Coordination Mechanisms between Provincial- and Commune-Level Governments in Vietnam’s Current Two-Tier Local Government Model

Abstract

This article examines the delineation of competences and coordination mechanisms between provincial-level and commune-level governments in the context of Vietnam’s strong push for reform of the state apparatus—streamlining organizational structures, reducing intermediate units, and improving the effectiveness and efficiency of local governance. Based on an analysis of the 2013 Constitution, the 2015 Law on Organization of Local Government, the 2019 Law amending and supplementing it, specialized laws, and the Party’s guiding documents, the article clarifies the legal, organizational, and governance requirements for shifting from a local government model that includes an intermediate tier to a two-tier local government model. The article does not use survey data, pilot data, or empirical assessments lacking official sources; evaluations of shortcomings are approached from the perspective of institutional analysis, legal risks, and implementation requirements. The research findings indicate that the two-tier local government model can only be effective when competences between the provincial and commune levels are clearly delineated and aligned with resources, personnel, finance, data, and accountability. The provincial level should concentrate on strategic functions, planning, resource allocation, management of sectors and fields with inter-regional characteristics, and inspection and supervision; the commune level should be vested with appropriate competences for tasks directly related to residents, businesses, and grassroots communities. The article proposes solution groups including legal improvement, designing a competence matrix, enhancing commune-level capacity, building an integrated one-stop-shop mechanism, accelerating digital transformation, ensuring financial resources, and strengthening oversight and accountability.