Hanoi Leads Vietnam in Public Investment, Fueling Economic Growth Through Infrastructure

Hanoi, Vietnam's capital, has achieved remarkable success in public investment disbursement, leading the nation in the first half of 2026. With over VND 63.501 trillion (approximately USD 2.5 billion) already disbursed, this substantial investment is expected to stimulate socio-economic resources and generate ripple effects across the entire Vietnamese economy. For 2026, Hanoi has been allocated a public investment plan of approximately VND 126 trillion by the Prime Minister. However, the city has proactively increased this allocation to around VND 156 trillion, creating room to boost growth from public investment and accelerate the progress of key projects. This capital is being strategically focused on transportation infrastructure and urban development projects with significant connectivity and spillover potential, including a series of bridges across the Red River, ring roads, and urban technical infrastructure. Specifically, the Tu Lien Bridge is considered one of the key projects with positive progress. The Hong Ha and Me So bridge projects are also accelerating construction and are largely on schedule. For the ring roads, land acquisition is being expedited. Furthermore, Hanoi is investing heavily in drainage and reservoir projects such as Thuy Phuong-Me Tri, Cu Khoi, and Phu Do, aiming to improve urban technical infrastructure, enhance flood control capabilities, and promote sustainable urban development. Since the beginning of the year, Hanoi has identified public investment disbursement as a primary political task and a crucial driver for economic growth. The city has issued numerous plans and directives, clearly assigning responsibilities to each investor and project, while also strengthening supervision and inspection of implementation progress. As a result, by June 30, 2026, Hanoi had disbursed approximately VND 63.501 trillion, equivalent to 52.92% of the plan assigned by the Prime Minister. This represents 42.3% of the city's self-allocated plan, excluding the 5% budget savings directed towards the Lao Cai-Hanoi-Hai Phong high-speed railway project as per central government directives. Nguyen Xuan Luu, Vice Chairman of the Hanoi People's Committee, highly praised the achievements, noting that Hanoi ranks first nationwide in both absolute value and disbursement rate of public investment in the first six months of 2026. Beyond accelerating disbursement, Hanoi anticipates public investment to act as a "seed capital," activating social resources and creating widespread economic effects. This outcome reflects the effectiveness of leadership and management, as well as consistent efforts in inspecting progress and resolving project-specific challenges. However, the volume of work ahead remains substantial, demanding even greater determination from all levels and sectors. Capital is being prioritized for key projects with the potential to generate added value within 2026, guided by the principle of "implementing as soon as preparations are complete." Recently, on July 15, 2026, the Hanoi People's Council approved the direction for the 2027 public investment plan, with an estimated total capital of over VND 404.289 trillion, an increase of approximately VND 248.289 trillion compared to 2026. To meet future disbursement targets, the Hanoi People's Committee has clearly defined its requirements: not only to disburse funds but also to complete the scope of work, bring projects into operation, and realize their benefits promptly. Hanoi's public investment disbursement rate is 17.4 percentage points higher than the national average and exceeds the June Key Performance Indicator (KPI) target by over VND 1.345 trillion.