Vietnam Disburses $2.4B in Public Investment in 2025
Vietnam has disbursed over VND 60.4 trillion ($2.4 billion) in public investment within the first two months of 2025, equating to 6.9% of the annual plan.
Despite an increase in total allocated funds by VND 84.3 trillion ($3.3 billion) compared to 2024, the disbursement rate remains slightly lower than last year by 0.75 – 0.8 percentage points.
Public investment remains a key driver in achieving Vietnamās 8%+ GDP growth goal and long-term double-digit growth by 2030.
Table of Contents
Key Projects & Infrastructure Priorities
Vietnam has allocated $36 billion in public investment for 2025, focusing on:
- National Infrastructure Development
- Highways & Expressways (coastal and regional connectivity)
- High-Speed & Urban Rail Projects
- Economic & Industrial Zones
Current Disbursement Breakdown
- Local Government Budget: 8.58% disbursed, on track with 2024 rates.
- Central Government Budget: 5.6% disbursed, lagging behind last yearās 7.52%.
Challenges Hindering Faster Disbursement
Despite increased funding, several bottlenecks have delayed spending:
- Unallocated Funds: VND 77.6 trillion ($3 billion) still awaiting allocation, mainly for projects still undergoing investment approval.
- Land Clearance Issues: Compensation disputes and complex land ownership histories slow construction.
- Material Shortages: High costs and limited supply of sand, gravel, and construction materials increase project expenses.
Government Action to Accelerate Spending
To meet the 95% disbursement target, the government has issued directives:
- Ministries & Provinces must finalize fund allocations by March 31
- Unspent funds after March 31 will be reallocated to fast-moving projects
- Priority funding for expressways, high-speed rail, and inter-regional connectivity
The Ministry of Finance is also working with local governments to extend unused central budget allocations into 2025 to ensure project continuity.
Vietnamās Public Investment Outlook for 2025
With record-high infrastructure funding, Vietnam aims to accelerate economic expansion by developing modern transport networks and boosting inter-regional trade.
Whatās Next?
- More efficient fund allocation policies
- Enhanced tracking of project progress
- Stronger investment in public-private partnerships (PPPs)
With $2.4 billion already spent, Vietnam is pushing to meet its infrastructure targets, ensuring sustained long-term growth.
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