A scheme on urban administration in Ho Chi Minh City will bring great opportunities for the development of satellite cities if implemented soon.
Despite being one of the 40 most populous cities in the world, with over 10 million people, most of the land in Ho Chi Minh City is rural, with urban areas accounting for less than 30 per cent. The city’s government therefore has the twin tasks of both urban and rural management. To create the conditions for the city’s development, the municipal government has created a pilot scheme on urban administration, under which the city will be reorganised into a central area, four satellite cities revolving around the central area, three towns, and 35 communes. The new scheme represents the expectations of municipal leaders and has been commended by economic and planning experts as an important breakthrough for the city’s development.
Golden opportunity for satellite cities
Many experts believe that if the scheme is passed by the National Assembly and implemented shortly it will present many opportunities for the development of the whole city and especially the four satellite cities. It is difficult to renovate, upgrade and change the current appearance of the central area, which is comprised of 13 thoroughly urbanised districts. As for the areas planned to become the four satellite cities, the scheme creates opportunity for their development and will contribute to encouraging local real estate projects.
The East City, comprising Districts 2, 9 and Thu Duc District, centred on the Thu Thiem new urban area and bordering Binh Duong and Dong Nai provinces, will be developed based on the banks of the Saigon River and Dong Nai River. The city will develop high-class services (including finance and credit), high tech industries, and others. The North City is composed of District 12 and most of Hoc Mon District and will build a service-based economy, ecological tourism associated with high-tech agriculture such as planting ornamental plants, flowers, and fish, and serve as new residential areas for Go Vap and Tan Binh Districts. The West City consists of the entire Binh Tan District, parts of Wards 7 and 16 of District 8, and four communes in Binh Chanh District, and will focus on service industries and industrial parks and become new residential areas for Districts 6 and 11 and Tan Binh District.
In charge of leasing commercial land in Phu My Hung Urban Area:
Meanwhile, the South City, including District 7, Nha Be District, part of Ward 7 of District 8, and two communes in Binh Chanh District, will be developed based on the Nha Be River and Xoai Rap River. With many large established projects, it has the most potential among the satellite cities. The Tan Thuan Export Processing Zone, the Hiep Phuoc Industrial Zone, and Hiep Phuoc Port, among others, provide a solid basis for the development of port services and commercial industries in the city. In terms of the real estate sector, the Phu My Hung urban area, with its modern and uniform planning, will certainly become a focus. Phu My Hung has nearly completed all construction, including housing and land projects and been evaluated positively by the market. Many well-known local and foreign brands such as Vietcombank, ANZ, Vinamilk, Petroland, Toyota, Mercedes Benz, Unilever, and BMW have chosen Phu My Hung as the location of their business.
In the latest move, the Ho Chi Minh City People’s Committee has announced a project related to establishing a special economic zone, with an area expected to be in the thousands of hectares located in District 7 and Nha Be, Binh Chanh, and Can Gio Districts. This move is a step towards specifying the city’s strategy of developing a marine-based economy that takes Phu My Hung urban area as its core.