Experts concerned over land price hike

Multiple experts have expressed concern over the Ministry of Natural Resources and Environment’s proposal to double the land prices, as higher prices will result in higher land use fees for businesses and residents.

Experts concerned over land price hike

A residential area in HCMC’s Go Vap District. The Ministry of Natural Resources and Environment’s proposal to double land use fees has raised concern among experts

In HCMC, land lots along the Dong Khoi, Le Loi and Nguyen Hue streets in District 1 have the highest nominal price of VND162 million per square meter. Some land lots at prime sites in Hanoi have the same price, Thanh Nien Online newspaper reported.

If the proposal is approved, the highest land price in HCMC will increase to VND330 million per square meter. In addition, under Decree 44, the city may impose higher land prices but no more than 30% of the prices set by the Government, or the highest land price in the city may reach VND429 million per square meter.

Further, the city annually applies the land price adjustment coefficient. For example, the coefficient is 2.5 this year, so the highest land price in the city may exceed VND1 billion per square meter.

According to a representative of the HCMC Department of Natural Resources and Environment, owners of more than 17,000 land lots in the city have yet to be granted their land use rights certificates, mainly those who have incurred financial difficulties. Therefore, the land price hike will worsen their problems.

Le Hoang Chau, chairman of the HCMC Real Estate Association, remarked that the proposed land prices are too high. The proposal, if approved, will drive up the prices of property products, negatively affecting consumers.

 

In addition, the high prices may encourage residents to avoid completing procedures for land use rights certificates, encouraging the use of illegal transactions, reducing the State budget revenue and hindering the competent agencies’ management efforts.

The proposal may help increase the State budget revenue in the short term but will do more harm than good in the long term, Chau noted, adding that the land prices should remain unchanged or increase by a third from the current levels.

According to lawyer Tran Duc Phuong from the HCMC Bar Association, last year and in the January-October period this year, the city issued 10 decisions on site clearance compensation for public investment projects with a 13-fold land price adjustment coefficient. Thus, the compensation for these projects was equivalent to the market prices. SGT

HCM City to review management of State-owned land, property

HCM City to review management of State-owned land, property

Authorities in HCM City are planning a review of State-owned housing, funds and assets in an aim to improve management and use of state-owned land and properties in the city.

Land accumulation essential to apply innovation in agriculture

Land accumulation essential to apply innovation in agriculture

Across Vietnam, there are 76 million small and scattered farming land lots. Their spread out and small nature slow the application of technology, stop companies from investing in agriculture and hinder 

 
 

Other News

.
China resumes importing Vietnamese dragon fruit, bananas
China resumes importing Vietnamese dragon fruit, bananas
BUSINESSicon  10/09/2021 

China has agreed to resume importing Vietnamese dragon fruit and bananas through the Kim Thanh International Border Gate in Lao Cai province following a hiatus due to COVID-19.

Digital transformation to increase productivity: the only way to not lag behind
Digital transformation to increase productivity: the only way to not lag behind
FEATUREicon  10/09/2021 

At Garment 10 Company, productivity increased exponentially after new technologies and digitalization of the production line were applied.

Welcoming visitors with "vaccine passports"
Welcoming visitors with "vaccine passports"
FEATUREicon  10/09/2021 

Van Don international airport in Quang Ninh province was selected to welcome the first visitors with a "vaccine passport" on September 4. 

Vietnamese households to spend more on food
Vietnamese households to spend more on food
BUSINESSicon  10/09/2021 

The average Vietnamese household will spend 20.8 per cent of their total household budget on food in 2025, marginally increasing from 20.1 per cent in 2005, according to global financial services provider Fitch Solutions.

Two out of five Vietnamese consumers will abandon long online banking account applications
Two out of five Vietnamese consumers will abandon long online banking account applications
BUSINESSicon  10/09/2021 

Vietnamese consumers expect a seamless banking experience when it comes to opening an account via a mobile app or website, with two in five expecting to answer 10 questions or less or they will abandon the process.

NA Deputy warns of property bubbles
NA Deputy warns of property bubbles
BUSINESSicon  10/09/2021 

State Bank of Vietnam Governor Nguyen Thi Hong has sent a document replying to Ha Sy Dong, a National Assembly Deputy from the central province of Quang Tri, who spoke about property bubbles at the first session of the 15th NA on July 25.

Hanoi enterprises resume operation, but with high caution
Hanoi enterprises resume operation, but with high caution
FEATUREicon  10/09/2021 

The enterprises in yellow and green zones of Hanoi have been asked to continue anti-pandemic measures during the production process. The ‘three on the site’ model (work, eat, stay) is being used in high-risk zones.

Garment-textile, footwear may take long time to recover: insiders
Garment-textile, footwear may take long time to recover: insiders
BUSINESSicon  10/09/2021 

Viet Nam’s garment-textile and footwear sectors have endured the brunt of COVID-19 and firms may take a long time to recover, experts said.

VN industrial, logistics real estate a resilient asset class: analysts
VN industrial, logistics real estate a resilient asset class: analysts
BUSINESSicon  09/09/2021 

Demand for e-commerce and pharmaceuticals ensure that the industrial and logistics real estate segments remain the most resilient asset class in 2021, experts have said.

VIETNAM BUSINESS NEWS SEPTEMBER 10
VIETNAM BUSINESS NEWS SEPTEMBER 10
BUSINESSicon  10/09/2021 

VN-Index bounces back on blue chip recovery

Vietnam to issue a tax decree on cross-border e-commerce
Vietnam to issue a tax decree on cross-border e-commerce
BUSINESSicon  09/09/2021 

Vietnam intends to issue a new decree to regulate cross-border e-commerce deliveries amidst the e-commerce boom.

State Bank agrees to extend debt rescheduling for six months
State Bank agrees to extend debt rescheduling for six months
BUSINESSicon  09/09/2021 

The State Bank of Vietnam (SBV) has agreed to extend debt rescheduling for customers for a further six months.

VIETNAM BUSINESS NEWS SEPTEMBER 9
VIETNAM BUSINESS NEWS SEPTEMBER 9
BUSINESSicon  09/09/2021 

Wood exports plummet as amid virus outbreak

Food prices in Vietnam the cheapest in Southeast Asia
Food prices in Vietnam the cheapest in Southeast Asia
BUSINESSicon  09/09/2021 

According to a report by iPrice, grocery prices in Vietnam are among the cheapest in Southeast Asia after comparing prices for groceries in Southeast Asia from Numbeo.

Plans afoot to push production ahead
Plans afoot to push production ahead
BUSINESSicon  08/09/2021 

Domestic production has been hit hard this year, with numerous enterprises facing greater woes and leaving the market. However, the situation could be eased by a new special taskforce established by the prime minister.

Longer-term FDI strategy in need of situational tweaks
Longer-term FDI strategy in need of situational tweaks
BUSINESSicon  09/09/2021 

The pandemic is forcing a number of factories to either stop operations or pare down capacity, which has increased pessimism about the short-term outlook of Vietnam’s business environment.

Businesses in green zones resume operation
Businesses in green zones resume operation
FEATUREicon  09/09/2021 

With control loosening, businesses in green zones in Hanoi will be able to restart their production and business activities. But they fear that control may tighten again if the outbreak gets worse.

Jan-Aug period sees 24 wind power plants commissioned
Jan-Aug period sees 24 wind power plants commissioned
BUSINESSicon  08/09/2021 

Twenty-four wind power plants with a combined capacity of 963 MW began commercial operations in the year to August, according to the Vietnam Electricity Group (EVN).

Driving force needed for economic recovery in HCMC after Covid-19 pandemic
Driving force needed for economic recovery in HCMC after Covid-19 pandemic
BUSINESSicon  09/09/2021 

A research team from the University of Economics and Law under the National University of Ho Chi Minh City, on September 6, announced the result on the topic "Creating the driving force for economic recovery in HCMC in the fourth wave of Covid-19".

Local auto industry needs support amid pandemic
Local auto industry needs support amid pandemic
BUSINESSicon  08/09/2021 

Domestic automobile manufacturers have urged the Ministry of Finance to revise criteria for production capacity so as to enjoy a preferential tax incentive policy for imported automobile parts.

 
 
 
Leave your comment on an article

OR QUICK LOGIN