Gói cho vay nhà ở xã hội: Challenges and Potential Solutions

The implementation of affordable housing projects in Vietnam is facing difficulties and has not been effectively disbursed, according to recent reports. This issue was discussed during a meeting at the Government Office, chaired by Deputy Prime Minister Tran Hong Ha.

Positive Developments in the Real Estate Market

After a series of measures were implemented by the Government, the Prime Minister, and their task force, in conjunction with relevant ministries and local authorities, the real estate market has shown positive progress and overcome significant challenges.

In Ho Chi Minh City, for instance, 33 out of 72 projects submitted by the task force have been resolved. Additionally, 44 out of 148 projects recommended by the city’s Real Estate Association have also been addressed. In Hanoi, 404 projects have resolved various difficulties, such as 81 projects being removed from the slow implementation list, 10 projects having their land revoked, and 67 projects being terminated due to objective reasons that resulted in a 24-month extension of land use.

Caption: Efforts need to be made to address the capital issue in order to stabilize real estate prices.

Inadequate Disbursement of Housing Credit Packages

Despite the positive developments in the real estate market, many ongoing projects by real estate businesses have been temporarily suspended or delayed due to legal issues and difficulties in accessing credit. Although these institutional challenges have been addressed with the approval of new laws by the National Assembly, such as the Bidding Law, the Housing Law, the Real Estate Business Law, the Land Law, and the Credit Institutions Law, their implementation has not yet taken effect.

During the meeting, the topic of discussion was the development of the social housing market. Some businesses suggested reducing the time required for legal reviews and land use origin for social housing projects, as well as loosening credit access conditions for developers and buyers with moderate and low incomes.

Regarding the challenges in disbursing the 120 trillion VND commercial credit package for social housing, representatives from banks such as BIDV and Agribank stated that the disbursement issues were due to the financial capacity, asset collateral, and liquidity of the projects’ investors. Tran Phuong, Deputy General Director of BIDV, pointed out that not all businesses seeking access to loans at this time had the necessary legal foundations. Some had not yet initiated their projects, while others were using self-financing.

“In order to expedite the disbursement process, BIDV has recognized the need for additional time to address legal conditions, such as difficulties related to land clearance, transfer conditions for whole or partial real estate projects,” Mr. Phuong emphasized.

Caption: Government agencies, associations, and businesses continue to evaluate the effectiveness of mechanisms, policies, and laws in addressing difficulties and challenges in the real estate market.

Addressing the Challenges to Support the Economy

Deputy Prime Minister Trần Hồng Hà emphasized that the challenges and obstacles in the real estate market have a serious impact on the economic ecosystem, including sectors such as banking, construction, building materials production, and consumer goods.

He urged relevant ministries, local authorities, associations, and businesses to continue evaluating the effectiveness of mechanisms, policies, and laws in addressing difficulties and challenges in the real estate market. The government is fully committed to fulfilling its responsibilities and mandates in this regard.

For real estate investors and businesses, it is essential for them to recognize their responsibilities in addressing the imbalance in the high-end segment and the lack of products for average and low-income individuals. Efforts should be made to combat speculative practices and price manipulation.

Tomorrow, the State Bank of Vietnam will hold a conference with the Ministry of Construction, associations, and selected businesses to discuss the challenges surrounding the 120 trillion VND credit package and further direct commercial banks to lower interest rates. The conference will also address debt deferment programs to provide continued support for projects and borrowers facing financial difficulties. The key focus remains on facilitating supply-side access, boosting the supply of housing, and stabilizing market prices in line with supply and demand dynamics, while also reducing prices for projects that have inflated prices due to speculation.

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