Amended Land Law to provide land value index close to market value

Deputy Prime Minister Tran Hong Ha addressing the conference. Photo: VNA

Speaking at the conference on amended draft land law on March 8, Deputy Prime Minister Tran Hong Ha urged academics and corporate executives to consider how land prices can be maintained at a level that is comparable to market pricing, how the emphasis can be shifted by administrative tools to ensure the appropriate use of economic instruments, and how a fair and equitable land environment can be created so that the extra land value can be accounted for during planning.

He said the lack of a proper land valuation system would result in serious repercussions, and this was the central problem of land financing. This upgrade would implement a land valuation approach based only on statistics. The land value list will be as similar to the actual price as possible and will be updated as the market swings.

There are now five ways to determine the value of land, although it is hard to pinpoint the precise value.

The DPM believes that the land pricing list will serve as the basis for carrying out fair and transparent land acquisition, and compensation, while harmonising the added value of land and guaranteeing justice between individuals, the state, and enterprises, as well as across regions and between projects.

While commenting on the amended draft Land Law, experts and the corporate sector raised a number of additional difficulties, including land acquisition, policies, price contradictions.

Vietnam is modifying the Land Law to address practical issues, develop land resources further, settle disputes, and eliminate overlaps between the Land Law and other laws.

In October, the National Assembly is expected to review and adopt the updated Land Law draft. The deadline for public comments is March 15.

Opinions for draft revised Land Law collected from today Opinions for the draft Land Law (revised) will be collected from people from all walks of life from January 3 to March 15.

Law on Land amendments to usher in positive changes The revised Law on Land, designed to ease bottlenecks in the real estate market, is also required to ensure synchronisation to improve the efficiency of land management and use. Scheduled to be approved by the National Assembly in 2023, the legislation will act as a driving force for Vietnam’s economy in the next period.

Land law considerations for non-nationals With the current Law on Land, many foreign businesses have encountered multiple challenges related to real estate while investing in Vietnam. Pham Duy Khuong, managing director of ASL Law, explains why the country must remove these issues as soon as possible in order to keep Vietnam attractive.