Ho Chi Minh City is pushing forward with an ambitious plan to relocate thousands of households living along its canal system, with officials emphasizing the need for a synchronized approach to speed up progress.
At a field inspection on May 5, a delegation led by Chairman of the City People’s Council Vo Van Minh and Vice Chairman of the City People’s Committee Bui Xuan Cuong reviewed the implementation of an urban renovation program covering riverside residential areas in Binh Dong, Chanh Hung and Phu Dinh wards for the 2025–2030 period.
City authorities aim to relocate at least 20,000 homes built along rivers, canals and waterways by 2030. Priority will be given to major routes such as Doi Canal, Te Canal and Ong Lon Canal, while local administrations will handle smaller areas. In total, the program includes 44 projects, including 40 funded by the state budget and four financed through private investment, affecting more than 23,000 housing units. The three surveyed wards alone account for over 65 percent of the total, with approximately 15,700 homes.
For this key zone, the city has drafted separate plans to relocate more than 14,600 households and develop nine resettlement and social housing projects, alongside land auctions to mobilize funding.
However, officials noted a significant challenge: nearly two-thirds of affected residents prefer cash compensation over relocation to new apartments. This trend is prompting the city to reconsider its housing and support policies to balance residents’ interests with project timelines. Authorities are also planning to leverage public land auctions to generate additional resources.
At the meeting, Deputy Director of the Department of Construction Huynh Thanh Khiet proposed measures to accelerate implementation, including streamlining investment procedures, allowing compensation and project planning to proceed in parallel, and introducing special compensation mechanisms in key areas. He also called for attracting strategic investors to participate in housing development.
Vice Chairman Bui Xuan Cuong urged agencies to quickly translate plans into action, prioritizing projects already approved by the City People’s Council and expediting feasibility studies for the remaining 15 projects. He stressed the need to prioritize resettlement housing in areas north of the twin canals, linked with broader community housing development, while preparing flexible alternatives in case of shortages.
He also called for a review of projects facing legal obstacles, with the option to shift them to public investment if necessary to maintain overall progress.
Concluding the session, Chairman Vo Van Minh identified Binh Dong, Chanh Hung and Phu Dinh as the core areas of the program. He instructed city authorities to clearly assign responsibilities, with authorities in wards directly overseeing compensation and site clearance while coordinating closely with relevant agencies.
The city will prioritize mobilizing budgetary and lawful funding sources to implement the projects. All 14 key projects are expected to complete procedures by the end of June, with efforts underway to secure investors and allocate capital within the year. Authorities were also urged to clearly separate local administrative responsibilities from project management to avoid overlap.
Chairman Vo Van Minh emphasized a “parallel-track” approach, in which compensation and land clearance are carried out alongside project development, as these stages will ultimately determine overall progress. He also called for adequate, affordable resettlement housing and the exploration of special mechanisms, including adjustments to land-use coefficients and expanded social housing supply.
The city’s broader goal is to complete the relocation of around 20,000 canal-side homes, contributing to urban renewal, environmental improvement and better living conditions for residents.
