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Hanoi seeks Gov’t approval of 2065 capital planning for development space

Hanoi’s average growth during 2021-2023 stood at 6.04%, outpacing the national average by 1.16 times.

Hanoi eagerly awaits government approval for its ambitious planning projects, including a bold revision of the capital’s master plan with a forward-looking vision through 2065. These changes are set to unlock exciting new development opportunities and shape the city's future growth.
Chairman of the Hanoi People’s Committee Tran Sy Thanh told a meeting between the city’s leaders and Prime Minister Pham Minh Chinh on August 17.
 Prime Minister Pham Minh Chinh at the meeting. Photos: Thanh Hai/The Hanoi Times

Thanh said that the city has recently focused on several key strategic tasks, including three major areas: the Amended Capital Law, the Capital Planning, and the Master Plan Adjustment for Hanoi with a vision towards 2065, all of which are currently awaiting approval by the Prime Minister.

In the first six months of 2024, Hanoi's Gross Regional Domestic Product (GRDP) grew by 6%, with an average growth of 6.04% from 2021 to 2023, outpacing the national average by approximately 1.16 times.

In the first seven months of 2024, the city's state budget revenue reached nearly VND324 trillion (US$13 billion), equivalent to 79.2% of the year's target, while budget expenditure totaled nearly VND53 trillion ($2.11 billion), achieving 36% of the planned figure.

Foreign Direct Investment (FDI)  amounted to over $1.37 billion and is projected to reach $3.13 billion or the year.

Thanh called on the Government to consider special mechanisms and policies to effectively relocate polluting factories, universities, and hospitals away from the city center in accordance with the city's planning.

He also requested the government's support in resolving issues related to several urban railway and transportation projects, urban planning, and housing, as well as removing obstacles to delayed projects to promote socio-economic development across all sectors.

At the meeting, Prime Minister Pham Minh Chinh expressed his delight at Hanoi’s achievements concerning economic and social development and the fulfillment of political tasks.

He highlighted the recovery and growth of Hanoi's economy, positive budget revenue outcomes, and notable progress in FDI, as well as the effective allocation of public investment.

 Overview of the meeting. 

However, the Prime Minister also highlighted some of the challenges and shortcomings facing Hanoi.

Specifically, while the GRDP growth of 6% in the first half of 2024 was positive, it was still below the national average. Although there is considerable potential for mobilizing social resources, the existing mechanisms, policies, and methods have not fully capitalized on this potential.

Environmental pollution, traffic congestion, and flooding remain pressing issues. Currently, only 90% of rural households have access to safe water.

A number of strategic infrastructure projects are behind schedule. Additionally, the city lacks major cultural and sporting events of regional and international significance. The city's Provincial Competitiveness Index (PCI) ranking fell in 2023 compared to 2022. Issues such as crime and fire incidents have also seen complex developments.

Chinh emphasized that developing Hanoi is a crucial political task and an integral part of the national strategy for building and protecting the country.

 Leaders of Hanoi during the meeting. 

“The development of Hanoi has always been a priority for the Party, the State, and the people, under the principle of "Hanoi for the nation, and the nation for Hanoi," Chinh said.

Outlining the key tasks for the city moving forward, he urged Hanoi to boost economic growth, maintain macroeconomic stability, control inflation, and ensure the major balances of the economy. The city should focus on resolving institutional and administrative obstacles, as well as addressing the attitudes of officials and public servants to mobilize all resources for its development.

Furthermore, the city needs to accelerate administrative reforms, embrace digital technology, and cut red tape, he said.

“Ensuring social welfare, advancing social justice, protecting the environment, and enhancing the city's cultural profile is also critical,” he said.

On healthcare and education, the Prime Minister stressed the importance of avoiding shortages of medicines and medical personnel and ensuring proper preparation for the new academic year. He also called on Hanoi to implement salary reforms combined with effective market price controls, ensuring the supply of essential goods, including food, and fuel, to avoid shortages.

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