PM directs solving woes in Vietnam property market

Prime Minister Pham Minh Chinh has asked state agencies, businesses and other stakeholders to join hands in promoting the development of a rules-based, effective and safe real estate market.

In a dispatch issued Wednesday, the PM requested the Ministry of Construction to push localities to promptly remove difficulties facing real estate businesses and propose specific solutions toward the goal.

He asked government agencies to review and propose amendments to overlapping legal regulations that hinder the implementation of real estate projects; select investors to implement social housing projects and accommodation for workers in cities and industrial parks toward having at least one million social apartments in the next decade.

The PM requested the State Bank's Governor to direct commercial banks to reduce costs and administrative procedures to help enterprises and residents access capital. Banks must quickly disburse loans for qualified real estate projects and businesses, especially those for social housing, workers' houses, and affordable accommodation.

The Minister of Natural Resources and Environment was required to coordinate with agencies and units to actively review and complete relevant legal documents. It is supposed to propose the government amends a number of articles of the decrees guiding implementation of the Land Law in order to remove land-related difficulties for property projects.

The Ministry of Planning and Investment must urgently review, amend and supplement regulations and laws on investment and bidding, while the Ministry of Finance reviews the bond issuance of real estate enterprises and provide appropriate and effective solutions to help promote the development of a safe, healthy, effective and sustainable realty market, according to the dispatch.

Meanwhile, the People’s Committees of provinces and centrally-run cities are asked to make a list of social housing, commercial housing and real estate projects in their localities; and focus on clearing obstacles related to investment procedures for housing projects to increase supply.

Real estate businesses themselves must proactively restructure customer segments, products and prices, as well as make payment deadlines and methods feasible and convenient for customers and people, especially those with real needs, says the dispatch.