Improving financial support policies for university students in Vietnam: Policy recommendations

Abstract

This study analyzes the current state of financial support policies for university students in Vietnam, focusing on two primary categories: non-refundable support (including tuition exemptions, scholarships, and subsidies) and refundable support (such as student loan programs). The findings reveal that existing policies benefit only a limited proportion of students, while tuition fees and related higher education expenses are becoming an increasing financial burden for many households. In response, the study proposes three policy recommendations to improve the effectiveness and equity of student financial support: (1) expanding targeted tuition exemption programs; (2) developing need-based subsidy schemes; and (3) reforming student loan programs toward income-contingent repayment mechanisms. These recommendations aim to establish a more inclusive, equitable, and sustainable financial support system for higher education in Vietnam.
Keywords
financial aid students higher education grant aid student credit

References

1.
Anderson, M. S. & Hearn, J. C. (1992). Equity Issues in Higher Education Outcomes. In W. E. Becker & D. R. Lewis (Eds.), The Economics of American Higher Education (pp. 301-334). Springer Netherlands, Dordrecht.
2.
Canton, E., Venniker, R., Jongbloed, B., Koelman, J., van de Meer, P. & Vossensteyn, H. (2001). Higher Education Reform: Getting the Incentives Right. SDU, Den Haag.
3.
Dearden, L., Fitzsimons, E. & Wyness, G. (2014). Money for nothing: Estimating the impact of student aid on participation in higher education. Economics of Education Review, 43, 66-78.
4.
Heller, D. E. (1997). Student price response in higher education: An update to Leslie and Brinkman. The Journal of Higher Education, 68(6), 624-659.
5.
Herbaut, E. & Geven, K. (2019). What Works to Reduce Inequalities in Higher Education? A Systematic Review of the (Quasi-)Experimental Literature on Outreach and Financial Aid. World Bank, No. 8802.
6.
OECD (2020). Resourcing Higher Education: Challenges, Choices and Consequences. Organisation for Economic Co-operation and Development, Paris.
7.
Salmi, J. (2017). The Tertiary Education Imperative: Knowledge, Skills and Values for Development. SensePublishers, Rotterdam.
8.
Tilak, J. (2003). Higher education and development. In J. P. Keeves et al. (Eds.), International Handbook of Educational Research in the Asia-Pacific Region (pp. 809-826). Springer Netherlands, Dordrecht.
9.
Wößmann, L. & Schütz, G. (2006). Efficiency and Equity in European Education and Training Systems. EENEE Analytical Report No. 1. European Commission Education and Culture.
10.
World Bank (2020). Improving the Performance of Higher Education in Vietnam: Strategic Priorities and Policy Options. World Bank.