Vietnam

Vietnam Net - E | English | News | Dec. 5, 2025 | UndeterminedPolitical Policy Resistance

The social housing market in Vietnam faces critical challenges as prices rise sharply, pushing homeownership beyond the reach of low-income workers, particularly migrants in cities like Ho Chi Minh City. Increasing costs for rent and utilities have strained workers’ finances, making it difficult to save for a home despite strong demand. The Vietnam Social Housing Report 2023 indicates that home prices are about 20 times higher than average annual income per capita, with an estimated demand shortfall of over 1 million units, or 51 percent of total need, by 2030.

Current social housing policies exhibit significant limitations as procedures for land preparation, project designation, and investor selection are prolonged and inconsistent across localities. Developers face high input costs, complex investment procedures, and unstable financing options, compounded by low-profit margins enforced by price ceilings. The lack of clear eligibility verification for informal workers further complicates access to social housing.

Experts propose several solutions to address these issues, including preparing cleared land with preferential land-use coefficients and introducing supplementary development rights in height-restricted areas to enhance flexibility and reduce state budget pressure. They also recommend government-backed preferential credit packages for developers and buyers, encouraging social bonds to finance projects, and creating streamlined, transparent one-stop mechanisms for legal and administrative procedures in social housing development.

Nhà đầu tư Thái Lan kiến nghị gỡ vướng loạt dự án điện tái tạo

VN Express | Local Language | News | Dec. 5, 2025 | UndeterminedEnergy Prices

The Thai Chamber of Commerce and Industry in Vietnam (ThaiCham) has urged Prime Minister Pham Minh Chinh to address issues related to the preferential electricity price mechanism (FIT) and payment obligations under signed Power Purchase Agreements (PPAs) for renewable energy projects. These projects, with a total capacity exceeding 2,594 MW and capital investment of about USD 2.57 billion, have faced payment suspensions since 2023 due to operations commencing without acceptance approval documents. This affects 173 grid-connected solar and wind power plants, including nearly 150 centralized solar projects integrated into the national power grid.

Over the past two years, ThaiCham companies have sent more than 20 official letters to relevant authorities about reduced FIT payments but have not received formal responses. In a recent meeting, Vietnam Electricity (EVN) reported that the issue is pending a decision from the Ministry of Industry and Trade and the Government. The delayed payments have caused serious financial and policy risks, with FIT payments cut by 25–50%, increasing pressure on lenders, many of which are international banks, and raising concerns among shareholders, regulators, and auditors.

The investors maintain they fulfilled conditions concerning commercial operation dates and PPAs terms. They argue that the ongoing delays harm investor confidence and Vietnam’s appeal for renewable energy investments. ThaiCham calls for a prompt government decision to enforce the PPAs and restore FIT payments to ensure fairness, legal transparency, and investment consistency. Earlier in 2025, domestic and foreign business associations also appealed to maintain stable renewable electricity pricing policies, warning that continued uncertainty could result in losses nearing 100% of projects’ equity, amounting to over USD 13 billion and potentially deterring future investment.

Bất động sản Trung Quốc dò chưa đến đáy

VN Express | Local Language | News | Dec. 5, 2025 | UndeterminedReal Estate

Sales of the top 100 Chinese property developers dropped 36% in November 2025 compared to the same period in 2024, with home sales for the first 11 months falling 19%. Secondary home prices in 100 surveyed cities decreased 7.95% in November, worsening from October, driven by high home inventories and weak buyer demand. Analysts from Goldman Sachs, Morgan Stanley, and Daiwa Capital Markets warn of ongoing deterioration in the real estate market, predicting that the current slump may persist into spring 2026.

China Vanke, a major real estate firm, requested a one-year payment deferral on bonds due in December 2025, prompting concerns about liquidity and potential widespread sector restructuring. Authorities required Vanke to provide collateral for loans totaling around 20 billion renminbi, and S&P Global downgraded its long-term credit rating to "CCC-", citing high restructuring risks within six months.

The real estate downturn follows five years of decline since the introduction of the "three red lines" borrowing restrictions, with government stimulus measures, including a 300 billion renminbi fund to purchase unsold apartments, proving insufficient. The stock of completed but unsold housing increased to 762 million square meters by August 2025, creating downward pressure on prices and resulting in a negative feedback loop of falling prices and cash flow problems for developers.

To counter this, experts recommend subsidizing mortgage interest rates to stimulate sales, with Morgan Stanley suggesting a 1 percentage point rate cut in Q2 2026 to aid market recovery. The Economist Intelligence Unit forecasts that effective limits on land supply and reduced apartment inventories could help home prices stabilize and hit bottom by the first half of 2027.