Dr. Tran Du Lich: Current land prices are beyond the endurance of the economy and people.

"Monitor at the desk, no need to go anywhere"

On August 6, the National Assembly Standing Committee organized the Forum "National Assembly Supervision to Create Development".

Speaking at the forum, Dr. Tran Du Lich said that the National Assembly should “supervise at the table, without having to go anywhere”, that is, organize the synthesis and classification of the system of documents. The goal is to open up 5 types of markets: goods, finance, real estate, labor and science and technology.

According to experts, these five types of markets are being inhibited by many overlapping regulations, so it is possible to hire law firms, use AI technology and other support to review the whole thing to see where the government intervenes too much and where there are loopholes. "On-site supervision is very low cost but most effective," said Dr. Tran Du Lich.

Referring to the issue of social housing when implementing 'field monitoring', Mr. Lich acknowledged that the urbanization process is the process of converting agricultural land into wasteland, because the houses built are not lived in, which is a waste. In particular, the current real estate market does not have houses for middle and low income people.

“The current real estate market products are like an airplane with only business class and first class, but no economy class. We let land prices and speculative prices of agricultural land create a bubble and now it is beyond the endurance of the economy and the people. This is a very big problem in management for the state to create development,” Mr. Tran Du Lich expressed.

First-time home buyers should get affordable credit

Also speaking at the forum, Mr. Le Hoang Chau - Chairman of the Ho Chi Minh City Real Estate Association - assessed that the National Assembly's supervision activities, especially thematic supervision, including supervision of the real estate market and social housing, brought about "excellent" results.

According to Mr. Chau, through supervision, the National Assembly can assess whether the law is suitable for life and especially whether the law is enforced accurately and effectively. This is very important when General Secretary To Lam recently continued to affirm that by 2025, all obstacles and difficulties in legal institutions must be fundamentally resolved.

The real estate market is lacking affordable apartments. Illustrative photo.

“From the results of the National Assembly's supervision of the real estate and social housing market, the National Assembly issued Resolution 161 - an excellent directive resolution for the Government, ministries, branches and localities to implement,” said Mr. Chau.

According to this expert, for the first time, thanks to the monitoring team, statistics showed that Ho Chi Minh City (old) had 220 stuck projects, but now the full statistics are 405 projects. The government has calculated that nationwide there are 2,981 stuck projects that need to be resolved, involving more than 7 million billion VND and tens of thousands of hectares of land.

After supervision, the National Assembly issued the first specialized resolution to specifically handle 64 stuck projects in Da Nang, Khanh Hoa and Ho Chi Minh City with special mechanisms. And at the end of the 9th session, the National Assembly issued a resolution on policy mechanisms to resolve land-related problems.

In addition, the National Assembly also issued a Resolution on piloting social housing projects and commercial housing projects using land other than residential land. In addition, Mr. Chau said that there are many specific regulations that can be implemented immediately without any further guidance, such as the 2011 Resolution on the mechanism for resolving the 20% land fund of commercial housing projects for social housing.

Mr. Le Hoang Chau also said that currently, the lack of product supply causes prices to increase, especially the lack of affordable housing for middle-income and low-income people; he hopes that there will be policies for low-cost housing (both social and commercial housing) and that all first-time home buyers can get long-term credit loans with reasonable and stable interest rates.