As part of the restructuring of the educational system in 1989, the Vietnamese government implemented policy changes such as promoting the establishment of "people's" and community educational institutions, permitting the establishment of private institutions and transforming public institutions into private ones. Since Vietnam has only recently moved from a centrally planned to a market economy, private schools are still relatively rare in Vietnam. This paper examines the nature of private schooling in Vietnam using data from the 1992-93 Vietnam Living Standards Survey.