The emerging education market in Vietnam is attracting interest from foreign higher education institutions and investors. Increasing disposable income, rapid urbanization, and rising living standards are driving local demand for advanced education. At the same time, a shortage of quality local universities, and a substantial increase in the number of school age children make the sector ripe for investment. The Vietnamese government has acknowledged shortcomings in the current education system and recently changed its tone on foreign participation in local education. Efforts are afoot to pave the way for foreign investment, evidenced most recently by the introduction of concrete proposals to soften existing restrictions on foreign investment into the sector.