Ministry pushes localities to cut red tape, boost social housing investment
In an effort to meet its ambitious social housing targets, Vietnam completed more than 15,600 units nationwide in the first four months of 2025.
THE HANOI TIMES — The Ministry of Construction is urging local governments to streamline administrative procedures to boost private investment in social housing development.
The request outlined in a document issued on May 22 by Minister of Construction Tran Hong Minh aims to accelerate the rollout of social housing projects and the targets set for 2025 and subsequent years.
A social housing project in Kim Chung Commune, Dong Anh District. Photo: Pham Hung/The Hanoi Times
The minister reported that more than 15,600 social housing units were completed nationwide during the first four months of 2025, accounting for 16% of the whole year's target.
Additionally, 17 additional social housing projects totaling over 17,600 apartments are under construction between January and April. The northern port city of Haiphong, the northern provinces of Bac Ninh and Bac Giang, and the central province of Nghe An have been recognized for their implementation progress.
To address challenges and accelerate delivery, the Ministry of Construction required local governments to incorporate social housing targets into their socioeconomic development plans and work on administrative procedures to facilitate the construction.
Commercial housing projects that include the mandatory 20% land allocation for social housing, as required by the 2023 Housing Law, must begin construction by 2025.
To support the development of new projects, the ministry urges provinces and cities to update their land use plans, establish favorable investment incentives.
To disburse the VND120 trillion ($4.6 billion) credit package, localities must disclose a list of eligible projects for bank loans.
The Ministry of Construction will conduct periodic inspections and compile quarterly reports from each locality to provide progress updates to the prime minister.
On May 20, Minister Tran Hong Minh submitted a draft resolution to the National Assembly, proposing pilot mechanisms to accelerate social housing development. If approved, the resolution will take effect on August 1, 2025, and remain enforceable for five years.
According to the draft, competent state agencies will be authorized to directly assign or approve investors for social housing projects, bypassing the need for competitive bidding. The planning will be simplified, and the investment and construction approval procedures will be streamlined by removing the requirement for specialized agencies to assess feasibility reports.
Advancing the social housing agenda is seen as a crucial measure to ensure social welfare, improve living conditions, and contribute to the country’s long-term sustainable development goals.
