The French Government has submitted to Parliament a bill seeking approval for the ratification of the EU-Viet Nam Investment Protection Agreement (EVIPA), marking a new step in bringing the pact into effect.

The bill was presented by the Minister for Europe and Foreign Affairs at Council of Ministers meeting on July 27 before being forwarded to the Parliament for consideration.

Signed in Ha Noi on June 30, 2019, the EVIPA aims to strengthen economic relations between Viet Nam and the European Union (EU), while enhancing legal protection for investments made by investors from both sides.

The agreement has gained momentum as the EU and France deepen their engagement in the Indo-Pacific region and strengthen their strategic partnership with Viet Nam. It complements the EU-Viet Nam Free Trade Agreement (EVFTA), which entered into force in August 2020, and further reinforces the Comprehensive Strategic Partnership established between France and Viet Nam in October 2024.

According to the French Government, the EVIPA establishes a unified legal framework governing investment protection between Viet Nam and EU member states, safeguarding investors' rights while replacing the traditional investor-state arbitration mechanism with a dispute settlement system.

Once it takes effect, the agreement will replace the bilateral investment promotion and protection agreement signed between France and Viet Nam in 1992.

The French Government believes the EVIPA will help strengthen the presence of French businesses in Viet Nam amid intensifying global competition. More than 250 French companies are currently operating in the Southeast Asian nation, providing jobs for around 26,000 people across various sectors.

The EVIPA was signed alongside EVFTA in 2019. However, unlike the free trade agreement, it can only enter into force after all EU member states complete their respective domestic ratification procedures in accordance with national legal requirements.