Business News

Prime Minister Phạm Minh Chính emphasised the significance of the revised draft Land Law and Housing Law, which are complex and sensitive with a far-reaching impact on a large scale, and stressed the need for the Government to pay close attention to ensure their quality and progress.

The resolution clearly states that the real estate market plays an important role in the economy and affects many other industries and fields. However, in 2022 especially in the second half of 2022, the real estate market faced many difficulties.

Some articles of Decree 65/2020 were suspended until December 31 this year. These provisions require professional individual investors to hold a bond portfolio totaling at least VND2 billion for 180 days or longer, and debt-issuing organizations to report their credit ratings and sell their bonds within 30 days.

Under the current regulations, official land prices are only amended every five years by the city government, and so the coefficient – (the K coefficient) or the number of times by which land prices are multiplied to match market prices – is adjusted every year.

Speaking at a forum last Friday, Nguyễn Quốc Hiệp, chairman of the Việt Nam Association of Construction Contractors, said the market would continue facing prolonged hurdles such as a lack of access to capital, credit tightening, legal bottlenecks and delays in bond payments.

A new government resolution has tasked the State Bank of Vietnam (SBV) with overseeing the execution of a $5 billion lending scheme and coordinating with commercial banks to ease the burdens in the property sector and promote development.

Speaking at a forum last Friday, Nguyễn Quốc Hiệp, chairman of the Việt Nam Association of Construction Contractors, said the market would continue facing prolonged hurdles such as a lack of access to capital, credit tightening, legal bottlenecks and delays in bond payments.

Real estate developers have suggested that the State Bank of Vietnam increases credit room soon to inject capital into the economy and create conditions for property businesses to restructure and develop this year.