Vietnam abolished the household registration system in order to eliminate regional disparities, Vietnam's economic development, a large number of people to the city to gather, and the household registration system seriously restricts the rural population to the city, which is not conducive to the development of the city, and ultimately directly affect the rise of Vietnam's economy.

On the other hand, the household registration system is also a constraint on the equal enjoyment of basic rights, which has led to discussions at the top level of the Vietnamese government to abolish the system. After the abolition of the household registration system, Vietnam's household registration authority will further implement online management of the national household registration, replacing the household register with a national database.

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Vietnam will issue every resident a new ID card with a 12-digit national identification number, plus other information about the resident - such as name, place of birth, fingerprints, permanent address, and marital status - as well as information related to births, deaths, number of children and criminal convictions. Some of these details are currently recorded in household registration books and identity cards.

With the abolition of the household registration system in Vietnam, people in various provinces are no longer restricted by their household registration and are able to travel to and from work, making the population much more mobile and contributing to economic development. Of Vietnam's 97 million people, more than 70 million are in rural areas. With the abolition of the household registration system, the rural population has been able to enjoy the benefits of education and health care.