Vietnam’s property market remainsstrong and will attract even more investors in the near future,delegates said at a two-day international real estate conference thatended on Oct. 22 in HCM City.
Speaking at the conference, Dang Huy Dong, deputy minister of Planningand Investment, said with a population of more than 85 million, thecountry has a huge need for more housing.
“The fundaments for the residential property market remain strong,”said David Blackhall, deputy managing director of VinaCapital RealEstate.
Affordability and reasonable payment terms are the main drivers in thecurrent marketplace, with low – to mid-end apartments priced between800 USD and 1,200 USD per sq.m, accounting for 85 percent of alltransactions.
Many provinces including Binh Duong, Ninh Thuan, Quang Ngai, Nghe An,Kien Giang, Soc Trang and HCM City have invited investors to keepdevelop their own property market .
For example, Ninh Thuan province, which is the first Vietnameseprovince to hire foreign consultants on its tourism and industrialdevelopment plans, plans to call for investment in clean energy,tourism, agriculture, aquaculture, forestry, and real estatedevelopment.
Nguyen Chi Dung, chairman of the Ninh Thuan People’s Committee, saidthe province would focus on improving its traffic system as well ascreating a convenient investment environment.
With a 120 km-long coastline and weather unsuitable for agricultural production, central Binh Thuan province wants to call for investors todevelop tourism property and services, said deputy chairman of theprovincial People’s Committee Nguyen Van Thu.
Soc Trang province in the Mekong Delta is looking for outsideinvestment to build tourism, residential, commercial and industrialproperty projects to meet the increasing demand for industrialisationand modernisation.
However, many obstacles still prevent the property market development,including complicated administrative procedures, poor infrastructure,and difficulties on land clearance and resettlement.
The meeting asked the Government to reduce paperwork and supportinvestors in acquiring land so that projects can finish on schedule.
Phan Huu Thang, former head of the Foreign Investment Agency under theMinistry of Planning and Investment, said localities should map out amaster plan that is suitable with their socio-economic situation sothat investment promotions will be more effective.
An official from the Ministry of Planning and Investment said theGovernment would issue policies to encourage the private sector to joinhands with the Government to develop infrastructure rather than dependon the state budget or Official Development Assistance funds. Vietnamhas many advantages, including diversified geographic characteristics,unique culture and friendly people to develop the tourism industry.
Miquel Angel Perez, chairman of EuroCham Tourism Committee in Vietnam, said improvements could still be made.
“Tourism is a service, we learn how to server. In Vietnam , we don’t serve properly,” he said.
Barriers that make he tourism industry develop in an unsustainablemanner are poor infrastructure and services, lack of professional humanresources and communications as well as ineffective marketingstrategies, according to Martin Kaye, chairman of the Millennium Groupand Starbay Holdings Ltd.
He said Vietnamese often look down on people who work as servers, and the attitude needs to change.
The Government needs to focus more on training professional staff forthe tourism industry from servers to managers, said Thang, who is alsochairman of the Vietnam Tourism Property Association./.
Speaking at the conference, Dang Huy Dong, deputy minister of Planningand Investment, said with a population of more than 85 million, thecountry has a huge need for more housing.
“The fundaments for the residential property market remain strong,”said David Blackhall, deputy managing director of VinaCapital RealEstate.
Affordability and reasonable payment terms are the main drivers in thecurrent marketplace, with low – to mid-end apartments priced between800 USD and 1,200 USD per sq.m, accounting for 85 percent of alltransactions.
Many provinces including Binh Duong, Ninh Thuan, Quang Ngai, Nghe An,Kien Giang, Soc Trang and HCM City have invited investors to keepdevelop their own property market .
For example, Ninh Thuan province, which is the first Vietnameseprovince to hire foreign consultants on its tourism and industrialdevelopment plans, plans to call for investment in clean energy,tourism, agriculture, aquaculture, forestry, and real estatedevelopment.
Nguyen Chi Dung, chairman of the Ninh Thuan People’s Committee, saidthe province would focus on improving its traffic system as well ascreating a convenient investment environment.
With a 120 km-long coastline and weather unsuitable for agricultural production, central Binh Thuan province wants to call for investors todevelop tourism property and services, said deputy chairman of theprovincial People’s Committee Nguyen Van Thu.
Soc Trang province in the Mekong Delta is looking for outsideinvestment to build tourism, residential, commercial and industrialproperty projects to meet the increasing demand for industrialisationand modernisation.
However, many obstacles still prevent the property market development,including complicated administrative procedures, poor infrastructure,and difficulties on land clearance and resettlement.
The meeting asked the Government to reduce paperwork and supportinvestors in acquiring land so that projects can finish on schedule.
Phan Huu Thang, former head of the Foreign Investment Agency under theMinistry of Planning and Investment, said localities should map out amaster plan that is suitable with their socio-economic situation sothat investment promotions will be more effective.
An official from the Ministry of Planning and Investment said theGovernment would issue policies to encourage the private sector to joinhands with the Government to develop infrastructure rather than dependon the state budget or Official Development Assistance funds. Vietnamhas many advantages, including diversified geographic characteristics,unique culture and friendly people to develop the tourism industry.
Miquel Angel Perez, chairman of EuroCham Tourism Committee in Vietnam, said improvements could still be made.
“Tourism is a service, we learn how to server. In Vietnam , we don’t serve properly,” he said.
Barriers that make he tourism industry develop in an unsustainablemanner are poor infrastructure and services, lack of professional humanresources and communications as well as ineffective marketingstrategies, according to Martin Kaye, chairman of the Millennium Groupand Starbay Holdings Ltd.
He said Vietnamese often look down on people who work as servers, and the attitude needs to change.
The Government needs to focus more on training professional staff forthe tourism industry from servers to managers, said Thang, who is alsochairman of the Vietnam Tourism Property Association./.
