Hanoi (VNA) - Resolution No 33/NQ-CP clearly shows the Government's fierce spirit, with numerous specific views and goals to revive the real estate market, experts have said.
Illustrative image. (Photo: Hung Vo/Vietnamplus)
Resolution No. 33/NQ-CP dated March 11, 2023, of the Government is considered as key for real estate businesses to help the Government to revive the market, and to ensure a healthy and buoyant marketplace for legal transactions.
A common responsibility to clear the bottleneck
In the Resolution, the Prime Minister emphasized that all relevant entities must take responsibility and remove difficulties in the real estate market. The government leader assigned responsibilities to each ministry and set specific tasks for local governments.
Provinces and cities need to conclude the review of legal procedures in real estate, especially large projects such as social housing, apartment renovations and the demand for real estate rentals in areas where production, industry and tourism are prominent.
Le Hoang Chau, Chairman of the Ho Chi Minh City Real Estate Association (HoREA) said the Government has "correctly diagnosed the disease" with accurate assessments of the current real estate market situation. They have identified the main problems and specified the causes so they can be dealt with.
The highlight of the Resolution is that the Government has set out the viewpoints and goals to build and develop a safe, healthy, and sustainable real estate market, especially in the context that the world situation and the global economy are complicated and face future challenges.
Illustrative image. (Photo: Hung Vo/Vietnamplus)
In addition, the Government's Resolution has overall directed fundamental solutions, and assigned specific tasks to each ministry, agency, provincial government, as well as clearly indicated the responsibilities of real estate businesses.
Business community determined to work with government
Chairman of the Ho Chi Minh City Real Estate Association Le Hoang Chau emphasized that the Government's orientations in Resolution 33, ministries, sectors, and real estate businesses need to clearly define the long-term strategy to develop the ecosystem of industrial, service, tourism, and residential real estate in urban areas to harmonize supply and demand.
According to him, real estate businesses are responsible for prioritizing all resources for debt payment, especially bond debt, actively restructuring prices and product structure in accordance with the actual needs of the market.
Promoting the recovery and safe, healthy and sustainable development of the real estate market (Photo: Hung Vo/Vietnamplus)
Vice Chairman of the Vietnam Real Estate Association Do Viet Chien said in the current context, businesses need to restructure their products to suit market conditions. This is especially the case for social housing, housing for workers in industrial zones, and housing for low-income people, all of which are in great demand.
Real estate businesses need to join hands so that the market can recover soon and provide much needed housing in critical areas of the economy, he noted.
Experts said the year 2022 proved to be a dismal period for the real estate market, as changes in legal policies and the tightening of bank credit have almost frozen the market.
Property developers, large or small, were forced to undergo restructuring to cut costs or postpone investment and construction activities. Others have put their plans to issue shares on hold, some even having to borrow capital outside the banking system at very high-interest rates to stay afloat./.
