Aug. 13 – Vietnam’s Ministry of Construction has recently proposed to relax its real estate laws in order to allow a greater amount of foreigners and foreign organizations to buy property in the country as part of an effort to reduce real estate inventory.
Specifically, the Ministry proposed that organizations such as foreign investment funds, banks, Vietnamese branches and representative offices of overseas companies, in addition to foreigners with valid Vietnamese visas, be allowed to buy homes (i.e., apartments, independent houses and town houses/villas that are no bigger than 500 square meters).
Furthermore, the proposal pushes to allow such foreign buyers to lease their properties to other individuals or sell their properties 12 months after obtaining an ownership certification – something that is currently not allowed. Continue reading
Mar. 18 – The Central Bank of Vietnam plans to infuse an additional VND30 trillion into Vietnam’s banking system in order to make further soft loans available for home-buyers. This move hopes to revive the struggling property market and resolve bad debt.
The central bank issued a circular late last week in which it clarified that banks will be providing loans at 6 percent a year to low-income home buyers, state employees and the military for at least 10 years, and to low-price property developers for five years. The circular also added that soft loans would be reserved for low-price property projects.
This plan is to take effect starting April 15, 2013. Continue reading
By Mattia Capsoni
Mar. 13 – In recent years, Vietnam’s real estate market has shown considerable strength and a propensity for growth.
“[The real estate market] has contributed an important part to ensuring economic growth and social security, but besides the positive results there remain a number of weak points,” Minister of Construction Nguyen Hong Quan said in an interview with VnEconomy News. Continue reading
Oct. 26 – Investor interest in Hanoi’s residential property has increased in recent years. With an average population growth rate of 5 percent a year coupled with a considerable area of vacant land, housing prices in Hanoi have been pushed up to levels that are higher than they should be. Selling prices of upmarket houses remain high while prices of average houses climbed 8.5 percent.
“The population in the next 15-20 years will grow constantly with middle-class people and medium-sized enterprises having the fastest growth rates,” according to Mr. Vu Xuan Thien, deputy director of the Housing and Real Estate Management Department. Continue reading
Feb. 28 – Vietnam’s finance and real estate regulatory frameworks are set to undergo changes in the coming months, according to the Ministry of Finance.
New amendments to securities regulations to come into effect in July will allow companies and investors to negotiate investments in terms of cash or assets, contingent upon the mutual approval of contracts and price agreements by both parties. Continue reading
Aug. 4 – In this issue of Vietnam Briefing, we look at the process of establishing representative offices in Vietnam. As the second best performing economy in the region this year, many foreign investors are now considering building a presence in Vietnam to take advantage of the robust growth. A representative office is the simplest way to do so initially as a company tests the viability of the Vietnamese market.
We also cover related topics that include comparing representative offices with branch and wholly foreign-owned enterprises to determine which type is the most suited for your company; obtaining a foreign work permit in Vietnam; and regulations on applying as a foreign contractor. Continue reading
Jul. 26 – The major port city of Danang in central Vietnam has so far lured in US$2.8 billion worth of foreign direct investment.
A majority of the investments were poured into 29 realty projects comprising of up to 73 percent of the city’s total FDI. Danang’s largest foreign investor was the British Virgin Islands followed by South Korea, the United States, Hong Kong and Japan. Continue reading
Jul. 12 – A pilot regulation will open Japanese-funded projects to third parties for bidding in an effort to clamp down on corruption.
The Ministry of Planning and Investment said (MPI) said that under the trial regulation, a third party will be allowed to join tenders; study documents related to the bidding process and send reports to investors, the MPI and the Japan International Cooperation Agency on bidding irregularities. Continue reading
Jun. 8 – Singapore-based real estate giant Capitaland, the largest developer in Southeast Asia, is planning to double its investments in Vietnam over the next three to five years to US$2.5 billion.
New projects will include affordable housing and shopping malls across Vietnam’s key cities like Hanoi and Ho Chi Minh City, Capitaland CEO Liew Mun Leong told reporters at the sidelines of a meeting with government officials in Hanoi. Capitaland currently maintains roughly US$1.2 billion in real estate projects throughout the country. Continue reading
May 11 – Trade between Vietnam and Cambodia jumped 130 percent in the first four months of the year, reaching US$432 million.
The two nations set a goal to bring in US$2 billion worth of bilateral trade for 2010. Last year, trade amounted to US$1.33 billion, a decrease of 19 percent compared to the previous year due to the global financial crisis. Continue reading