Post by : Meena Ariff

Public investment in Vietnam is speeding up this year, even though the economy is facing many challenges.

In the first six months of 2025, the government spent more than 268 trillion dong (about 10.5 billion US dollars) on public projects. This is 32.5% of the total plan for the year. It is better than last year when only 28.2% was spent in the same period. This improvement comes after a slow start in the first quarter when only 9.35% was spent.

The Ministry of Finance said that this money is now being used more efficiently for big infrastructure and important projects. Minister of Finance Nguyễn Văn Thắng said, "Public capital is being spent where it can create new space and energy for economic growth."

Usually, public investment starts slowly at the beginning of the year because of planning and paperwork. In past years, only around 27–29% was spent by mid-year, but it reached over 90% by the end of the year. In 2025, spending is already faster, showing good signs for the coming months.

One clear example is the expressway projects. Sixteen new highways have been completed and opened, increasing the total expressway length in Vietnam from 1,327km to 2,268km. The country is on track to reach its goal of 3,000km by the end of 2025.

However, there are still some problems. Fifty-eight ministries, sectors, and provinces are spending slower than the national average. The government wants to spend 100% of the planned public investment this year, which is higher than the 95% goal in previous years.

Prime Minister Phạm Minh Chính said public investment is very important to grow the economy, create jobs, and keep the economy stable. He asked for faster reforms and quicker land clearance to avoid delays.

The government is also working on solving problems with old projects that have been stuck for a long time. National Assembly Deputy Trịnh Xuân An from Đồng Nai Province asked the government to set up a system to handle more than 2,200 such projects, worth over 230 billion US dollars. He said, "If we can unblock these projects, it will not only use public funds better but also bring in more private and foreign investment."

Lawmakers believe this will help Vietnam reach its goal of 8% GDP growth this year and prepare for future growth.

Major cities are working hard too. In Ho Chi Minh City, a special team has been created to speed up paperwork and improve cooperation between departments. Projects must now follow the ‘six clears’ rule: clear responsibilities, timelines, authorities, outcomes, personnel, and tasks. Contractors are being encouraged to work in three shifts to finish work faster. Chairman Nguyễn Văn Được has asked agencies to approve high-performing projects faster and reduce processing times by 30%.

In Hanoi, leaders want to spend over 87 trillion dong this year, which is 13% more than last year. By June 20, they had already spent nearly 27 trillion dong, about 31% of the annual target. The city is focusing on big transport and drainage projects like the Tứ Liên and Trần Hưng Đạo bridges and Ring Road 4.
To speed things up, some projects have been told to finish paperwork in one day, cutting approval time by 60%. However, land clearance and negotiating with foreign partners on Official Development Assistance (ODA) projects are still slowing down progress.

Vice Chairman Nguyễn Mạnh Quyền said, "The city must solve these last problems to achieve this year’s theme of discipline, responsibility, innovation, and growth."

As Vietnam improves its systems, public investment is seen as an important test of local leaders. With half the year left, everyone is working hard to meet targets and push GDP growth above 8% by the end of 2025.