Dak Nong faces difficulties in developing social housing

In September 2017, the Dak Nong Provincial People's Committee approved the investment policy of the Social Housing Project in Nghia Tan Ward, Gia Nghia City. The project was started in August 2018 on a scale of 1.79 hectares with 108 social housing units. The project has a total investment of 162 billion VND and the investor is ESG Vietland LLC.

The project was expected to be completed in the fourth quarter of 2019. However, after many requests for adjustments and extensions to the fourth quarter of 2022, the project still could not be completed on time. Although the relevant authorities have repeatedly urged, the project has not been completed according to regulations.

The social housing area in Nghia Tan ward, Gia Nghia city is still not completed after 7 years of approval.

Although not yet completed, the project area is basically full of people. Many households of many social groups who have received transfers in many different forms have moved into the project to live. Here, a residential area with one of the highest density in Gia Nghia City has been formed.

This is the first and currently only social housing project being implemented in Dak Nong province. Meanwhile, the demand for social housing in the province is considered by experts to be very large.

According to the Dak Nong Department of Construction, the demand for social housing in the 2021-2025 period in Dak Nong province is about 1,500 apartments. Based on the above reality, the Dak Nong Provincial People's Committee has set a goal of building about 40,000m2 ^of social housing for the subjects in the 2021-2025 period.

In addition to the Social Housing Project in Nghia Tan Ward, Dak Nong Province has planned two land plots to implement independent social housing projects for workers and low-income people in Gia Nghia City and Dak R'lap District.

The social housing area in Nghia Tan ward, Gia Nghia city has not been completed yet but is basically full of residents.

Dak Nong province also identified a land area of ​​about 4.2 hectares in Nghia Thanh ward, Gia Nghia city to call for investment in social housing projects. The project has a total investment of about 250 billion VND to implement the credit program of 120,000 billion VND for preferential loans to develop social housing, workers' housing, and renovate and rebuild apartments.

But in reality, the results are not as expected. Up to now, Dak Nong province has not achieved its set goals. It is expected that by the end of 2025, the province's social housing development plan for the period 2021 - 2025 will not become a reality.

The leader of Dak Nong Department of Construction admitted that the target set for the period 2021 - 2025 is much higher than the current urban development status of the province. The main reason hindering the urban development process of Dak Nong is the low investment resources.

According to the Standing Vice Chairman of Dak Nong Provincial People's Committee Le Van Chien, the starting point of urban areas and the reality of socio-economic development in mountainous areas are still modest. Attracting investment resources for housing development from external sources is still limited, affecting the goal of social housing development.

Calling for social housing projects in mountainous urban areas like Dak Nong faces many difficulties and receives little attention from investors.

In Dak Nong, there is currently Tam Thang Industrial Park in Cu Jut district which is already in operation and Nhan Co Industrial Park in Dak R'lap district which is yet to be completed. Without large industrial parks, Dak Nong has great difficulty in attracting investment in the field of social housing development.

Furthermore, social housing investment often brings low profits, so investors are not interested. Localities like Dak Nong really need the Ministry of Construction and the Government to support the province in allocating funds for social housing development.

Source: https://baodaknong.vn/dak-nong-gap-kho-phat-trien-nha-o-xa-hoi-228386.html