HO CHI MINH CITY: Vietnam is building a fair and transparent land system that supports both economic growth and the needs of its people.
After one year of implementation, Vietnam’s 2024 land law is under review.
And while it has brought significant improvements in decentralisation, transparency and land access, many challenges have emerged.
The government is now working on amendments, aimed ensuring that land continues to serve as a foundation for economic growth, social stability and investment.
Land is not just a development resource. It is also a matter of livelihood, housing and economic justice.
Managing this resource fairly and efficiently remains a national priority but there are many challenges.
The 2024 land law, which came into effect in August last year, introduced major reforms intended to modernise land administration, support business activities and enhance local authority in decision-making.
Among its notable achievements, the law has clarified procedures for land allocation and lease.
It allows multi-purpose land use where consistent with planning, removes the requirement for a land use certificate when applying for investment and shifts authority to change agricultural land use to provincial councils.
These changes have helped improve access to land for businesses and citizens.
Another key improvement is the development of a national land database.
The law requires coordination between central and local agencies to build and share digital land information. This is a critical step towards a more transparent, accountable and efficient land management system.
Despite these positive steps, the law has also revealed some shortcomings.
One of the pressing problems is the removal of the government’s fixed land price framework.
While this change aimed to reflect market values, it has led to sudden price increases in many areas.
In several provinces, land prices have surged by two to 30 times, making it difficult for people to afford housing, convert land use or invest in projects.
These pricing issues have also hurt businesses, especially small and medium developers.
Many have withdrawn from the market, reducing the supply of affordable housing. This, in turn, has pushed up prices in the real estate market.
Apartment prices in Hanoi and Ho Chi Minh City have reached new highs, rising 3.5 to four times compared with 2019, with some new projects priced at over 100 million dong (US$3,850) per sq m. — Viet Nam News/ANN
