Ho Chi Minh City Considers Revenue from TOD Projects

Key pointsHo Chi Minh City has proposed five revenue items for projects benefiting from Transit-Oriented Development (TOD). Notably, projects near stations may face higher financial obligations. These revenues are expected to be prioritized for the development of urban railways and public transportation.
Business impactThis new regulation may impact the cost structure in real estate development. Japanese companies will need to reassess their financial plans to ensure project profitability.

Key pointsHo Chi Minh City aims to achieve double-digit growth in its tourism sector, emphasizing the importance of the media's role. The media is expected to go beyond mere information provision to create market needs and contribute to quality improvement, particularly in services targeting the Islamic market. Additionally, media outlets are anticipated to play a crucial role in deepening understanding of tourism policies.
Business impactFor Japanese companies, the growth of Ho Chi Minh City's tourism market represents new business opportunities. Companies providing tourism-related services and products should strengthen collaboration with media outlets to enhance their understanding of target markets.

Key pointsAsia Commercial Bank (ACB) and the University of Economics Ho Chi Minh City (UEH) signed a contract on September 9 to implement the 'ACB - Tran Mon Hung Scholarship.' This scholarship program aims to support talented young individuals in collaboration with the family of ACB's founder.
Business impactThis scholarship program is expected to provide students with practical experience and strengthen the collaboration between businesses and educational institutions. It is important for Japanese companies to consider such initiatives in their talent development efforts.

Key pointsThe port project underway in Hai Phong has a total investment of approximately 147.66 trillion VND (about 6.5 trillion JPY) and includes the construction of a major container terminal. This project is expected to commence operations in 2028 and is anticipated to serve as a hub for international logistics.
Business impactThis project offers new business opportunities in the logistics sector, prompting Japanese companies to consider expanding logistics services and related businesses in Hai Phong.

Key pointsVingroup is investing over 500 trillion VND in infrastructure projects, including railways, highways, bridges, and underwater tunnels. Notably, the high-speed railway project connecting Hanoi and Quang Ninh is in focus, aiming for commercial operation by 2028.
Business impactVingroup's infrastructure investments will promote economic growth in Vietnam and create related business opportunities. Japanese companies should consider participating in these projects.

Key pointsVietnamese real estate companies are entering overseas markets, with projects in India and the United States gaining attention. Vingroup is planning a large-scale urban development project in India, while other firms are expanding into Laos and Cuba. This enhances the international competitiveness of Vietnamese companies.
Business impactJapanese companies need to monitor these trends and reconsider their strategies for entering overseas markets, particularly focusing on local partnerships and market research.