NA Chairman Tran Thanh Man stressed that social housing has become an increasingly urgent issue, especially in urban areas and industrial zones. However, he noted that the implementation of social housing projects still faces obstacles due to inflexible mechanisms, prolonged administrative procedures, and a lack of appealing incentives for investors.
As of December 2024, a total of 644 social housing projects have been launched across the country, with a planned scale of 580,109 units. Among these, 96 projects have been completed, delivering 57,652 units; 133 projects are currently under construction, accounting for 110,217 units; and 415 projects have received investment approval, with a planned scale of 412,240 units.
Prime Minister Pham Minh Chinh has issued an official dispatch emphasising the urgent need to address obstacles hindering the progress of social housing projects, aiming to enhance the effectiveness of social housing development and meet the growing demands of people.
Prime Minister Pham Minh Chinh has issued an official dispatch emphasising the urgent need to address obstacles hindering the progress of social housing projects, aiming to enhance the effectiveness of social housing development and meet the growing demands of people.
The Hoa Binh Construction Group announced on February 19 that it has won bidding packages to develop five social housing projects worth 72 million USD in Kenya.
The Vietnam Banks Association (VNBA) has suggested the Government submit a request to the National Assembly for a resolution to support firms and people to overcome difficulties and promote business development like they did during the COVID-19 pandemic.
A 120 trillion VND (5.08 billion USD) package in preferential lending rates for social housing developments started to see first disbursement, a positive signal after the development of affordable homes had been in stagnation partly due to a shortage of capital for several years.
Social housing projects that developers were hesitant to invest in due to capped profit suddenly gained traction as giant developers recently announced plans to step into the segment.
Two 12-storey dormitories for factory workers are under development in Thu Duc City, Ho Chi Minh City, capable of accommodating more than 1,000 people.
Vietnam has 513 social housing projects for workers, 249 of which with 5.2 million sq.m of floor area are completed, or 41.7 percent of the plan, according to figures from the Ministry of Construction.
Hanoi needs nearly 4 billion USD to develop 7.2 million square meters of social housing in the next five years amid a shortage of low-cost residential real estate.
Nine social housing projects for low-income earners with more than 4,100 apartments measuring 205,500 sq. m were completed and put into use in 2019, which did not meet the target set by the national housing development strategy to 2020 with a vision to 2030.
Only 28 percent of industrial zone workers are provided with stable accommodation, while the rest have to rent houses with poor sanitation and infrastructure.
Most industrial parks in the country, including in the southern key economic zone, lack housing for workers, said Phan Van Anh, Vice President of the Vietnam General Confederation of Labour.
Prime Minister Nguyen Xuan Phuc has recently issued Directive No.11/CT-TTg on several solutions to promoting stable and transparent development of the property market.
Deputy Prime Minister Trinh Dinh Dung has asked the Ministry of Construction to pay attention to the development of social housing projects and homes for low-income earners while enhancing urban management and creating favourable conditions for construction businesses.
Vietnam has to date completed 87 social housing projects with some 28,800 apartments for workers at industrial parks (IPs), meeting just 28 percent of the demand, according to the Ministry of Construction.
Social housing development not only improves societal strength but also boosts the economy overall, said Minister of Construction Pham Hong Ha, emphasising that Government spending on social housing can lift the real estate industry as a whole.
A total of 54 businesses and projects were honoured with the Vietnam Property Awards 2018 in Hanoi on April 14 in recognition of their significant contributions to the development of the real estate market in Vietnam.
