Hanoi (VNA) – The Ministry of Finance has prepared 5 trillion VND (194.6 million USD) in charter capital for the establishment of a National Housing Fund, with the amount potentially rising to 10 trillion VND after three years of operation, Minister of Finance Ngo Van Tuan told the National Assembly on November 12.
The information was provided during the question-and-answer session at the second sitting of the 16th National Assembly. Minister of Construction Tran Hong Minh also clarified issues concerning public investment disbursement and shortcomings in bidding activities.
Responding to lawmakers' questions about the establishment of the fund, Tuan said that his ministry has worked with the Ministry of Construction to develop a plan and secure 5 trillion VND in charter capital under the 2026–2030 medium-term public investment plan. He described the development of affordable housing to ensure people's access to accommodation as a humane and responsible State policy, stressing that housing plays a particularly important role in people's lives. The right to housing is also emphasised in the Constitution and current legal regulations.
To promote social housing development, the NA adopted Resolution No. 201/2025/QH15 on piloting special mechanisms and policies for social housing development. The Government subsequently issued Decree No. 302/2025/ND-CP, detailing the organisation and operation of the National Housing Fund and measures to implement the resolution.
The decree provides for a centrally managed National Housing Fund established by the Government, alongside local housing funds, to support social housing development and meet people's housing needs.
Tuan said that the Ministry of Finance is assessing the fund's necessity from multiple perspectives and will provide guidance on its financial mechanisms once it is established.
Regarding public investment disbursement, Minh reported that the disbursement had reached approximately 74% by the end of October, a significant improvement compared with the same period last year. However, several provinces and cities continued to record slow progress.
He attributed the delays to both objective and subjective factors. External obstacles include difficulties in site clearance, price fluctuations, shortages of construction materials and labour, and adverse weather conditions. Meanwhile, shortcomings in project management, implementation and administrative capacity have also contributed to delays.
Regarding bidding, the minister said participating contractors generally meet regulatory requirements, but violations remain a potential concern during the organisation and implementation of bidding procedures.
One notable problem is the practice of some contractor consortia submitting abnormally low bids to gain a competitive advantage, potentially undermining project quality, progress and investment efficiency.
He noted that some projects recorded cost reductions of only 0.5%, 0.7% or 1%, stressing that bidding-related savings must be assessed alongside construction quality and overall investment efficiency.
For key projects covered by special mechanisms approved by the legislature, direct contractor appointment coupled with a requirement to reduce costs by 5% has generally proved effective, he said.
The minister also acknowledged cases in which contractors won multiple projects through consortia despite lacking sufficient independent implementation capacity. He further highlighted difficulties in addressing the practice of winning contractors transferring work to smaller subcontractors without proper oversight.
He stressed that investors must be held responsible for monitoring implementation progress, construction quality and contractors' performance. The Ministry of Construction will contribute to the revision of the Bidding Law, led by the Ministry of Finance, to help strengthen regulations and ensure transparent, objective and effective contractor selection./.
VNA
