Vietnam to Amend Land Law, Deepening Utilization as Strategic National Resource

The Central Committee of the Communist Party of Vietnam has determined new directions for amending the Land Law and related regulations to adapt to the changing national development goals. This positions land not merely as an asset, but as a special resource for the economy, a space for urban, infrastructure, industrial, housing, and agricultural development, as well as a crucial financial resource for the state, collateral for businesses and citizens, and an essential 'input' for most investment, production, and business activities. Land management has always been a priority for the Party and the State, yet effective management is not simple. It requires not only statistics and document reviews but also enhancing the utilization and efficiency of land resources, ensuring appropriate allocation to maximize economic and social value. In 2022, facing the urgent need to overcome long-standing limitations in land management and utilization (including planning, land acquisition, compensation, land prices, resource leakage, protracted disputes, and inefficient use), a strong institutional reform was called for. Resolution No. 18-NQ/TW was adopted, forming the basic foundation for the Land Law of 2024 and the completion of land policy systems. However, just over two years later, in 2026, the country's development context has changed significantly. Vietnam is entering a phase aiming for continuous double-digit growth for many years, with the goal of becoming a high-income developed country by 2045. As development goals change, so must the perspective on development resources, bringing more pressing new demands. To address this urgent issue and set more appropriate, forward-looking directions, Resolution No. 21-NQ/TW was issued. This resolution strongly emphasizes the task of institutionalizing the policy of 'strict, transparent, fair, efficient, and sustainable land management, making land truly a strategic resource, a competitive advantage, and a driving force for national development in the new era, contributing to improving people's lives and strengthening their confidence in the Party and the State.' The most significant innovation of Resolution No. 21-NQ/TW is the shift in focus from land management to unlocking land resources. Land continues to be 'owned by the entire people, represented and uniformly managed by the State.' The State retains its decisive role in planning, land allocation, leasing, acquisition, and ensuring land is used for its intended purpose, economically, and sustainably. However, Resolution No. 21-NQ/TW expands the approach, placing land as a strategic resource capable of generating growth, enhancing competitiveness, and expanding the nation's development space. This requirement is becoming clearer in the current context, where one of the economy's bottlenecks lies in the ability to effectively utilize resources, including land. If land procedures are prolonged, agreements cannot be reached, financial obligations cannot be determined, or other obstacles arise, the resource, despite its physical existence, cannot be transformed into investment, production, infrastructure, urban development, and economic growth. Therefore, Resolution No. 21-NQ/TW emphasizes the goal of making land a 'strategic resource,' 'competitive advantage,' and 'driving force for development.' These three concepts carry not only political meaning but also reflect a dialectical new development philosophy. Furthermore, Resolution No. 21-NQ/TW places greater emphasis on the land resource allocation mechanism. Land must be allocated to the entities most capable of using it effectively; land use rights must be sufficiently clear for citizens and businesses to invest with confidence; the land use rights market must be transparent for resources to flow to where they create higher value; and the State must use financial tools to appropriately regulate the added value from land, ensuring a harmonious balance of interests among the State, citizens, and businesses.