Savings interest rates are no longer attractive, people are looking for investment channels

“Building credibility and promoting projects transparently and effectively will be the key to attracting capital from the people,” said Dr. Le Xuan Nghia.

Confidence and motivation to continue growing the business

Photo caption — Dr. Le Xuan Nghia - former Vice Chairman of the National Financial Supervision Committee, Director of the Development Consulting Institute

According to analysts, in the context of stable banking system liquidity and not too high inflation pressure, interest rates are expected to remain low or decrease slightly in the coming time.

Recently, the deposit interest rates of banks have remained at their lowest level in the past 2 years. This has occurred in the context of the State Bank of Vietnam (SBV) continuing to adhere to the goal of stabilizing interest rates and supporting credit growth, an orientation that has been affirmed throughout policy statements and through management actions since the beginning of 2025.

On July 4, the highest deposit interest rates at banks ranged from 6 to 9.65% per year. But to enjoy this interest rate, customers must meet special conditions. According to statistics from BSC Research and KBSV Research, the average deposit interest rate at banks has decreased by 6 to 7% compared to the peak in 2023.

At the Forum "Real Estate Investment in the New Era: New Thinking - New Opportunities" recently organized by TheLEADER, the Director of the Institute of Development Consulting expressed his belief that the real estate market is opening up new and potential opportunities. "The policy of merging provinces, a strategic move of the Government , promises to create a strong wave of urbanization across the country. We can expect the formation of modern satellite cities, bustling twin cities, thereby creating a real estate market with new growth momentum", said Dr. Le Xuan Nghia.

Typically, the Long Thanh area planning with the large-scale international airport project. In addition, a series of key national infrastructure projects on high-speed railways, highways, seaports and many other projects will spark an unprecedented urbanization trend, not only concentrated in big cities but also spreading to many regions across the country.

In the context of a changing market, some economic experts also pay special attention to the role of Resolution 68 on private economic development. This Resolution opens up a large development space for businesses, creating momentum for innovation and creativity.

According to Mr. Nguyen Trung Vu, Chairman of the Board of Directors (BOD) of Cen Group, the reality of life has been reflected in the Resolutions. “This gives us confidence and motivation to continue developing the business. Legal procedures in the coming time promise to become faster and more convenient. In the past, the market encountered many difficulties, especially the limited supply of real estate. However, the upcoming situation will be different, it is likely to 'explode'," said Mr. Nguyen Trung Vu.

“In the next 5-10 years, the business investment strategies of enterprises will change completely compared to the recent period. Looking back at the past 5 years, the market has been heavily affected by COVID-19. In the previous 5 years, when the policy allowed foreigners to buy houses, the market boomed strongly. However, many segments such as resort real estate are still facing many difficulties. Over the past 10 years, the market has been severely lacking in supply. But from now on, the market will enter a period of supply explosion, this is a huge change,” said Mr. Nguyen Trung Vu.

Key factors for investors to "put money down" after merger

Mr. Le Dinh Chung - General Director of SGO Homes said: “We need to look at the real needs of customers, that is, what they need, what they care about, not just follow the general trend. In the current period, up to 78% of investors are interested in preserving and making a profit from cash flow, the rest are other opportunistic factors. The trend of cash flow is very clear, after 2022 to early 2025, investors will focus on two main segments”.

One is “cash flow real estate”, products that can be rented out immediately and generate stable profits; the other is “urban real estate”, which meets the needs of housing, utilities, and can be exploited long-term. Today’s investors carefully study macroeconomic indicators (GDP, competitiveness), local development strategies, along with factors of migration, population movement, and urbanization speed. They prioritize provinces that have invested heavily in infrastructure, production facilities – especially industry; have a pull to migrate from major centers (for example, the area around Hanoi ); are well connected through major traffic routes, and have a high enough population density and urbanization to ensure liquidity.

“The first opportunity is for the entire political system to change its thinking, clearly identify the issues that need to be innovated as well as the role of the state, the private sector and the issue of technological change; the second opportunity is institutional change - the issue that the General Secretary emphasized as the bottleneck of bottlenecks. We all see very quick and drastic actions of the state apparatus, for example, quickly changing a series of issues related to real estate by law and a series of resolutions in a short time, for example Resolution No. 170, Resolution No. 172…”, Dr. Nguyen Van Dinh said.

This is a drastic change of the political system, where mistakes are corrected immediately and clearly, I think this is one of the great opportunities. Besides, the streamlined administrative apparatus, merging with localities will help businesses in general and real estate businesses in particular benefit from shorter procedures, for example, only need to submit a license application at one door.

Not only that, Vietnam is also showing very specific and clear plans and policies, such as increasing investment in infrastructure as well as thinking that domestic can do it without necessarily needing foreign enterprises. The development of the North-South high-speed railway will also expand space to new urban areas.

Opportunities for real estate businesses in the coming time also come from the macroeconomic stability in the past long time and is expected to continue in the coming time. However, according to Dr. Nguyen Van Dinh, real estate businesses will also have to face some challenges in the coming time.

Although many institutional issues have been resolved, the institution is not really complete, requiring continued adjustment and change in the coming time. “On the business side, the internal strength of real estate enterprises is still not really strong, especially small and medium enterprises (SMEs). Many enterprises have revealed problems and even collapsed when incidents occurred. Some enterprises that can overcome the past time are those that have been prepared in advance. The experience of some countries shows that the development of the country requires a number of large enterprises, they can be ready to enter a new game, forming new mega-cities with a scale of tens of thousands of hectares. In the upcoming game, SMEs must accompany the sharks to support, thereby gradually building greater internal strength”, said Dr. Nguyen Van Dinh.

The quality of the capital market is also a big challenge for real estate businesses, along with the lack of sustainable capital channels. The evidence is that when there is a crisis, the credit flow is blocked, causing businesses to plummet.

“The government is making many efforts to control and manage this issue. We propose that all transactions must go through the exchange for better control, avoiding manipulation, chaos, speculation, and price inflation. Good control but still have to create conditions,” Dr. Nguyen Van Dinh shared.

Source: https://doanhnghiepvn.vn/kinh-te/lai-suat-tiet-kiem-khong-con-qua-hap-dan-nguoi-dan-tim-kiem-kenh-dau-tu/20250705094024113