10 Highlights of the Construction Industry in 2024

News
January 24, 2025

On the afternoon of December 27, 2024, the Ministry of Construction held a press conference and met with the press to summarize the outstanding activities of the Construction Industry in 2024. In 2024, overcoming the common difficulties and challenges of the economy, the construction industry basically completed its tasks and achieved numerous positive results. Below are 10 highlights of 2024 announced by the Ministry of Construction.

  1. The National Assembly passed the Law on Urban and Rural Planning – Institutional improvement continues to be a bright spot

From the beginning of the term, the Ministry of Construction has proactively and actively researched and promptly institutionalized the Party’s viewpoints and policies to perfect the legal system of the Construction industry. In 2024, the work of perfecting institutions continues to receive special attention, and is a bright spot, demonstrating the determination and correctness in the direction and administration of the leaders of the Ministry of Construction.

On November 26, 2024, the 8th Session of the 15th National Assembly voted to pass the Law on Urban and Rural Planning (Law No. 47/2024/QH14) with a high approval rate, the Law takes effect from July 1, 2025. Along with that, the Prime Minister approved the Planning of the urban and rural system for the period 2021 – 2030, with a vision to 2050 in Decision No. 891/QD-TTg dated August 22, 2024. In the coming time, the Ministry of Construction will focus on drafting and submitting to the Government for promulgation 02 Decrees, submitting to the Prime Minister for promulgation 01 Decision; Issue 02 circulars guiding the law under the authority, ensuring synchronization of implementation with the law.

Along with the amended Land Law passed on June 29, 2024, at the 7th Session of the 15th National Assembly, the two Housing Laws No. 27/2023/QH15 and Real Estate Business Law No. 29/2023/QH15 will take effect 5 months earlier, from August 1, 2024. To put the policy into practice early, the Ministry of Construction has submitted and the Government has issued 05 Decrees and 01 Decision to ensure simultaneous effect with the Housing Law and the Real Estate Business Law.

02 other draft laws chaired by the Ministry of Construction are the Law on Urban Development Management; The Law on Water Supply and Drainage has also been included in the 2025 Law and Ordinance Development Program by the National Assembly. It is expected that the National Assembly will comment at the 9th Session (May 2025) and pass it at the 10th Session (October 2025)…

The positive results in building and perfecting the institutions of the Ministry of Construction achieved in the past have promptly institutionalized the Party’s policies and guidelines, contributing to perfecting the legal corridor in the fields of state management of the construction sector to ensure consistency and synchronization; at the same time, effectively removing obstacles, shortcomings, “bottlenecks”, hindering development caused by legal regulations; strengthening decentralization and delegation of power in state management, creating initiative for local authorities; reforming and simplifying administrative procedures, investment and business conditions, reducing legal compliance costs, creating favorable conditions for people and businesses.

  1. Promoting decentralization in state management

In order to institutionalize the Party and National Assembly’s guidelines and policies, and to carry out the tasks assigned in Resolution No. 04/NQ-CP dated January 10, 2022 on promoting decentralization and delegation of power in state management, the Ministry of Construction actively advises competent agencies to promulgate laws and sub-law documents to enhance decentralization and simplify administrative procedures in state management fields. In the field of construction investment, promoting decentralization to localities to appraise projects, design, grant construction permits, inspect acceptance work, grant construction permits to foreign contractors, etc. has been implemented according to the roadmap from the beginning of the term. In particular, in 2024, the Ministry of Construction has reviewed and advised the Government to issue a Decree replacing Decree No. 15/2021/ND-CP and a number of related Decrees on construction investment project management to strongly decentralize administrative procedures under the authority of the Ministry to localities for implementation.

With the above thorough decentralization, it is expected that after the Decree takes effect, the number of administrative procedures from central agencies that are further decentralized to localities for implementation will be about 95% on appraisal and inspection of acceptance work and 100% on granting practice certificates and certificates of construction activity capacity; reducing about 10% of project and construction dossiers requiring appraisal procedures at state agencies.

  1. Actively remove difficulties and obstacles for key and important national projects and works

Implementing the direction of the Government and the Prime Minister, the Ministry of Construction has actively coordinated with ministries and branches to focus on removing difficulties for key national projects and promoting public investment. Implementing the tasks in Official Dispatch No. 02/CD-TTg dated January 9, 2024 of the Prime Minister, the Ministry of Construction and the Ministry of Transport coordinated to organize an online conference with relevant ministries and branches and 46 localities, and at the same time established an inter-ministerial working group to focus on removing obstacles related to construction norms and unit prices, exploitation and supply of construction materials for projects: The Ministry issued documents to the People’s Committees of provinces and centrally run cities requesting the organization to determine and announce construction prices and construction price indexes in the area and review regulations on management of construction investment costs, construction contracts and construction norms; To date, the Ministry has issued 250 norms, timely amendments and supplements to remove difficulties and obstacles related to norms and construction unit prices for key and important national traffic projects and works.

The Ministry also coordinates with ministries, branches and localities to handle newly arising requirements according to their functions and tasks. In performing its tasks, the State Inspection Council for Construction Works has inspected 120 times as planned, of which 07 works and bid packages have been approved for completion and put into use… The works assigned by the Prime Minister have been closely controlled by the Council, with timely instructions for investors and contractors to comply with design requirements, technical instructions and technical standards and regulations applicable to the project.

  1. Construction industry growth reaches about 7.8% – 8.2%, the highest since 2020

In 2024, the construction industry growth will reach about 7.8% – 8.2%, exceeding the target assigned by the Government in Resolution No. 01/NQ-CP (6.4% – 7.3%). This is also the highest growth rate achieved by the construction industry since 2020, which is the driving force for the overall GDP growth of the economy; The urbanization rate reached 44.3%, exceeding the target assigned by the National Assembly of 43.7%. Compared to the target assigned by the Government in Resolution No. 01/NQ-CP, the construction industry also achieved 2 other targets, including: Wastewater collection and treatment rate of 18%; Average housing area nationwide of 26.5 m2 floor/person.

  1. Social housing development receives special attention

The social housing policy over the past year has received special attention from the Party, the National Assembly and the Government, and has determined the task of investing in developing social housing for workers and low-income people as one of the important and humane criteria and policies to ensure social security and the driving force for stable socio-economic development of the country: On May 24, 2024, the Secretariat issued Directive No. 34-CT/TW on strengthening the Party’s leadership in social housing development in the new situation. This is the first time the Party has directed the development of social housing. To urgently implement, the Prime Minister issued Decision No. 927/QD-TTg dated August 30, 2024 on the Plan to implement Directive No. 34-CT/TW. At the 8th session of the 15th National Assembly, Resolution No. 161/2024/QH15 was passed to continue to improve the effectiveness and efficiency of implementing policies and laws on real estate market management and social housing development.

The Ministry of Construction has issued a Plan to implement Decision No. 927/QD-TTg (Decision No. 1017/QD-BXD dated November 1, 2024) to enhance the effectiveness and efficiency of State management, innovate methods and models of management and development of social housing to attract and encourage domestic and foreign economic sectors to participate in investment, development of social housing and implementation of housing support policies for beneficiaries.

In 2024, the Ministry of Construction will coordinate with the Government Office to organize 02 conferences to remove difficulties and promote social housing development. The Ministry is submitting to the Government a draft Resolution on preferential capital sources for social housing development. Accordingly, it is proposed to implement a preferential package of VND100,000 billion for social housing loans from bond capital, applicable for 5 years. The above efforts will be the premise for the development of social housing nationwide to accelerate in the coming time.

  1. Real estate market overcomes the most difficult period to gain momentum for recovery and development

Recently, the Government, the Prime Minister, the Ministry of Construction, together with ministries, branches and localities have issued many drastic instructions and implemented many synchronous solutions to remove difficulties for the real estate market. The Prime Minister’s working group on removing difficulties and obstacles in implementing real estate projects has worked with localities and real estate enterprises to listen to reports, grasp information, situations and review each specific real estate project to discuss, guide and answer questions to remove difficulties and obstacles in implementing real estate projects.

Along with the completion of the legal system, drastic solutions from the Central to local levels, and the efforts of enterprises and investors, the real estate market has had positive changes, overcoming the most difficult period.

  1. Continue to focus on implementing Resolution No. 06-NQ/TW

In 2024, the Ministry of Construction will continue to focus on implementing Resolution No. 06-NQ/TW of the Politburo on planning, construction, management and sustainable development of Vietnamese urban areas to 2030, with a vision to 2045.

Along with the timely institutionalization of Resolution 06-NQ/TW with a synchronous system of legal documents, the Ministry will accelerate the progress of appraisal of planning tasks and projects, organize appraisal of classification and recognition of urban areas. By the end of November 2024, there will be 900 urban areas nationwide, including 02 special urban areas, 21 type I urban areas, 39 type II urban areas, 44 type III urban areas, and 97 type IV urban areas.

Implementing the Resolutions of the Politburo, the National Assembly Standing Committee and the Government on the arrangement of administrative units at district and commune levels, in 2024, the Ministry of Construction established a Working Group to proactively work with 30 provinces and centrally-run cities to urge the implementation of general urban plans and urban development programs; 22 administrative units, including cities and towns, have been reorganized; 59 towns in 05 provinces and cities have been proposed for reorganization, meeting the set goals and plans.

  1. Promote research, production, supply and use of green materials, new materials, and alternative materials in construction works

Based on the advice of the Ministry of Construction, the Government has issued many policy mechanisms to promote the development of green materials. With appropriate policy mechanisms, many types of green materials and new materials in the country have been increasingly researched and developed. Currently, the Ministry of Construction has developed and issued or transferred to competent authorities to issue full standards, regulations, technical instructions, and technical economic norms on the treatment and use of ash, slag, and gypsum used as raw materials for the production of construction materials and in construction works according to the tasks set out in Decision No. 452/QD-TTg of the Prime Minister, including 19 Standards, 01 Regulation and 07 Technical Instructions, 03 technical economic norms for the fields of: raw materials for the production of cement, mortar, concrete, and compacted concrete rolling, reinforcing soil for roads, plasterboard, wall panels, and filling materials. The Ministry of Construction has developed Standard TCVN 13754: 2023 Salty sand for concrete and mortar to ensure the requirements for using sea sand for construction works.

The Green Building Week program has become an annual, prestigious event of the Ministry of Construction. With policies issued related to the development of green materials, the quantity and types of green materials are increasing and diversifying, contributing to the number of green buildings in Vietnam in an upward trend: In 2022, there will be about 200 green buildings; In 2023, there will be about 300 green buildings; In 2024, there will be over 500 green buildings.

  1. Strengthening administrative procedure reform, digital transformation and e-Government development

The Ministry issued Decision 926/QD-BXD dated October 11, 2024, approving the Project on Digital Transformation of the Construction Sector for the period 2024 – 2025, with a vision to 2030. The Project aims to gradually modernize administration, make the process of handling administrative procedures transparent, and improve the quality of online public services in the Construction Sector.

In administrative reform, the Ministry of Construction has implemented 8/9 administrative procedures (TTHC) reaching 88%. The Ministry is providing 35 online public services out of a total of 119 TTHC under the management of the Construction Sector. The Ministry comprehensively connects the Ministry’s administrative procedure settlement information system with the system for monitoring and measuring the level of provision and use of online public services automatically, and evaluates the results of administrative procedure settlement in real time (EMC system).

The Ministry also piloted the application of GIS in publicizing information on construction planning and urban planning on the Vietnam construction planning and urban planning information portal.

  1. Resolutely implementing the summary of Resolution 18-NQ/TW and the Project on streamlining the apparatus

Implementing the direction of the Central Steering Committee and the Government Steering Committee to summarize Resolution 18-NQ/TW, the Ministry of Construction has urgently and actively worked with the Ministry of Transport to complete the report on the summary of Resolution 18 and the draft Project on merging the Ministry of Construction and the Ministry of Transport to report to the Prime Minister on time.

In the process of implementing the Project, the Ministry of Construction seriously grasped the direction of the Central Government, the Government and the Party Committee of the Ministry of Construction; grasped the aspirations of cadres, civil servants, public employees and workers, created consensus and unanimity, together for the common cause and political tasks; believed that unity is strength and effectiveness. Excited and steadfast, in any position, successfully completed all assigned tasks.

Thuỵ An 
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