Over the last two decades, Vietnam has made notable progress in reforming management of public investment. The legal framework on public investment management (PIM) has been continuously improved, covering the entire project management cycle. Management of public investment projects still faces several major challenges. The objectives in development strategies and plans are excessively broad and vague, which undermines quality of preliminary screening. The analysis of the study suggests some priorities for PIM reforms. First, the legal framework has to be further strengthened to alleviate the existing fragmentation, duplication, and lack of uniformity of the laws and legislation. Second, decentralization of PIM should be accompanied by measures to increase responsibility and accountability of local governments and line ministries, and to improve their capacity and coordination, particularly in appraisal and monitoring. Third, the approach to monitoring and evaluation (M and E) should be results based, which requires a mechanism to effectively tie in project output and progress with responsibility of agencies in charge of PIM and to enhance participation of the community organizations. Fourth, Vietnam needs to improve statistical system to allow for adequate analysis of public investment and, related to it, adopt realistic and feasible indicators of PIM efficiency to facilitate M and E and ex post project evaluation.