Hanoi to develop comprehensive social security system

The Hanoi Times — The Capital Law, approved by the Vietnamese National Assembly in 2024, allows the Hanoi People's Council to allocate funds to people in need of poverty alleviation, employment, and loans to buy social housing.

According to Nguyen Thanh Hai, Vice General Director of the Hanoi Development Investment Fund, the city has released an investment portfolio subject to preferential loans from the fund during the 2026-2030 period, with priorities given to housing projects for workers at industrial parks, social housing, resettlement housing, and old building renovation.

"Hanoi’s authorities are promoting credits for investors of social housing projects, houses for low-income groups, and old building renovation, to better meet public demands," Hai said.

Securing sufficient social capital, particularly for social housing and resettlement projects, is a key task in implementing the 2026-2030 housing development plan. To date, the fund has disbursed VND811 billion (US$35 million) for four social housing projects.

With some VND4.37 trillion ($187 million) available for loans at a below-market interest rate of 5.96% per annum, Hai hoped the fund's disbursement would be accelerated.

Hanoi authorities aim to build 6.8 million square meters of floor space, or 113,000 apartments, worth VND12.5 trillion ($534 million) in the period 2026-2030. "The city needs huge resources, including both state and social financing, to achieve this goal," Hai said.

The Hanoi People's Committee is calling for investment in five social housing projects totaling 273 hectares. To date, the authorities have approved detailed plans for two projects in Tien Duong Commune, Dong Anh District. The remaining three, in Co Bi Commune, Gia Lam District; Ngoc Hoi Commune, Thanh Tri District; and Dai Mach Commune, Dong Anh District, are still in the planning stage.

In mid-January, the committee approved and updated the list of 72 housing and urban development projects. Eight of the projects are social housing projects with 1,583 apartments and a total area of nearly 256,000 square meters.

Nguyen Van Dinh, Head of the Vietnam Association of Realtors (VARS), told the Voice of Vietnam that social housing is in line with the income level and purchasing power of underprivileged people, low-income earners, and those whose only source of income is wages.

"Encourage investors to develop social housing as the demand for this segment is growing. The role of local authorities is to ensure planning, guarantee land funds, and support social housing developers in administrative procedures," Dinh stressed.

Specific measures on social security

The Capital Law 2024 also contains a number of specific measures on social security, making the law a premise for Hanoi to promptly provide support for people, especially the elderly and those in difficult circumstances, and gradually achieve the goal of developing a comprehensive social security system.

Accordingly, the People's Council is empowered to set the amount of voluntary social insurance support for the needy, health insurance for the disabled and the elderly aged 70 and over, who are entitled to free annual health check-ups.

In addition, the law provides preferential policies for organizations and individuals with investment projects in non-public social assistance facilities, voluntary drug rehabilitation facilities, and those providing voluntary drug rehabilitation services at home and in the community.

Hanoi has more than 78,000 people with merits for the revolution who receive monthly allowances; more than four million workers; about 8,000 social beneficiaries and drug addicts who are housed in social protection centers. 

In another move, Resolution No. 15 of the Politburo issued in May 2022 on tasks of Hanoi's development to 2030, with a vision to 2045, stated: "To develop a comprehensive social security system that covers the entire population, reaches a wider range of beneficiaries, and creates conditions for people to access basic social services."

Helping people access essential services

In 2025, Hanoi will focus on implementing social security policies and promoting the implementation of the Capital Law 2024.

Accordingly, the city will continue to formulate policies on social subsidies, housing support, vocational training, and job creation.

Under the National Sustainable Poverty Reduction Target Program for 2021-2025, Hanoi reduced poverty by 1.5% in 2024 and by an average of 1.32% annually since 2021, one year ahead of schedule.

Hanoi is leading the way in implementing the government's goal to "completely eliminate temporary and dilapidated housing for the poor and those affected by natural disasters and climate change" by 2030.

There is also a proposal to subsidize 100% of the health insurance contribution for a period of 36 months for elderly people aged 60 to under 70, people with disabilities, or ethnic people who are not covered by health insurance.

The above policies, if approved by relevant authorities, will take effect from January 1, 2026. They are expected to benefit about 614,000 people at a total cost of nearly VND709 billion (US$28 million). They are expected to help improve the quality of social security in Hanoi and more thoroughly implement the motto of "leaving no one behind."

The National Assembly passed the Law on Social Insurance in July 2024.

It includes new provisions that focus on supplementing social benefits; strengthening the link between social pension benefits and basic social insurance; and expanding the target group for enrolling and receiving full social insurance benefits.

It will also increase pension opportunities for policyholders and better ensure that Vietnamese working abroad and foreign workers in Vietnam enroll and receive benefits.