Ho Chi Minh City (VNA) – A package of 16 key infrastructure projects with a total investment of 9.5 billion USD, scheduled to break ground or be inaugurated around the upcoming National Day, is expected to provide a strong boost to Ho Chi Minh City’s economy, unlock stalled capital flows and expand development space for the southern economic hub.
According to the city’s socio-economic report, Ho Chi Minh City's gross regional domestic product (GRDP) grew 8.55% year-on-year in the first half of 2026. Although the rate was positive and among the country’s leaders, the city faces considerable pressure in the second half to achieve the double-digit growth target assigned by the Government. GRDP growth in the third and fourth quarters will therefore need to accelerate significantly, while traditional growth drivers such as domestic consumption and exports are facing pressure from rising material costs and fluctuations in global markets.
Against this backdrop, experts see the large-scale infrastructure projects as an important catalyst for accelerating growth toward the year-end.
Le Hoang Chau, Chairman of the Ho Chi Minh City Real Estate Association (HoREA), said the simultaneous implementation of large-scale infrastructure, urban upgrading and social housing projects would create additional momentum for economic growth and support the city’s double-digit growth target.
The deployment of such a large volume of resources could generate a major stimulus not only for the southern metropolis but also for the national economy. If implemented in a coordinated manner, the projects will create short-term momentum through construction and investment while laying the groundwork for longer-term development and improving people’s living conditions, he added.
Assoc. Prof. Dr. Pham Viet Thuan, head of the Ho Chi Minh City Institute of Natural Resources and Environmental Economics, said the infrastructure projects will help unlock capital currently tied up in businesses and public investment.
Projects such as the Thu Thiem-Long Thanh railway and sections of Ring Road No. 4 are expected to channel a substantial amount of capital from the State budget and public-private partnership (PPP) investment into the economy, creating a positive ripple effect across supply chains.
The construction boom will first stimulate demand for construction materials such as cement, steel, concrete and bricks, while creating large numbers of direct and indirect jobs and contributing to social security, he said, adding the 9.5 billion USD infrastructure investment could also boost credit growth through infrastructure financing and housing loans, thereby helping release working capital within the banking system.
In the longer term, improved connectivity infrastructure will help reduce travel and freight costs, lower logistics expenses and enhance the competitiveness of domestic goods. Meanwhile, new urban and social housing areas will drive the development of essential services, including schools, supermarkets, markets and healthcare facilities, contributing to stimulating retail consumption, he noted.
Synchronously completing regional transport connectivity and social housing infrastructure will not only address short-term economic challenges but also expand urban development space and attract foreign direct investment in the long term, Thuan stated./.
VNA
