Decision No. 758/QĐ-TTg approves the National Urban Upgrading Program for the period from 2009 to 2020.

Pursuant to …;

Approving the National Urban Upgrading Program for the period from 2009 to 2020

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PRIME MINISTER

Pursuant to the Law on Organization of the Government dated December 25, 2001;
Pursuant to the Construction Law dated November 26, 2003;
Considering the proposal of the Minister of Construction,

DECISION:

Article 1. Approving the National Urban Upgrading Program for the period from 2009 to 2020 (hereinafter referred to as the Program) with the following main contents:

I. OBJECTIVES OF THE PROGRAM

1. Strategic objectives:

- Contributing to the implementation of the Comprehensive Strategy on Growth and Poverty Reduction;

- Directly supporting the implementation of the overall orientation of urban development planning in Vietnam;

- Improving living conditions for urban residents through investment to improve technical infrastructure services, social infrastructure, and urban environment;

- Establishing criteria to evaluate and classify technical infrastructure and social infrastructure of low-income residential areas in cities, criteria for developing and improving living standards for each city.

2. Specific targets by 2020:

a) The proportion of urban residents accessing clean water, having toilets connected to septic tanks reaches 100%; the proportion of solid waste collected to designated locations reaches 100%; the proportion of houses in areas not meeting safety and suitability requirements for living being relocated and improved living conditions reaches 100%;

b) The proportion of wastewater collected and treated reaches 45%; restoring and installing combined stormwater and sewage systems; urban areas meet standards for traffic density; street lighting systems are upgraded;

c) Building a financial system to support funding to meet the need for loans to renovate housing for households still facing difficulties in low-income residential areas;

d) Enhancing the capacity of management levels in urban planning, upgrading, and development work.

II. TIME FRAME AND SCOPE OF IMPLEMENTATION OF THE PROGRAM

1. Time frame: from 2009 to 2020

2. Scope: urban upgrading will be implemented in cities from Class IV and above nationwide, focusing on upgrading and renovating low-income residential areas and urban areas that do not meet infrastructure technical requirements, housing requirements, and areas forecasted to have high construction density by 2020.

III. CONTENTS OF THE URBAN UPGRADE PROGRAM TO 2020

1. Overall program:

a) By 2020, cities from Class IV and above nationwide will be upgraded in priority order, focusing on the following selection criteria:

- Cities with a high proportion of poor areas, many areas with limited technical infrastructure and social infrastructure;

- Cities with strategic positions in regions, which are cities influencing regional or sub-regional development;

- Cities lacking technical infrastructure and social infrastructure;

- Cities with the ability to accept and implement projects.

During the investment process, priority will be given to cities in densely populated areas but underdeveloped.

b) Contents of urban upgrade components:

- Upgrading urban technical infrastructure level III for low-income residential areas, urban areas, and expanded suburban areas, including water supply, drainage, solid waste collection, transportation, and treatment, roads, and lighting;

- Upgrading urban infrastructure level I and II, including clean water supply, wastewater treatment, drainage, solid waste collection, transportation, and treatment, and roads;

- Relocating residents in unsafe areas in cities;

- Providing loans to improve housing in renovation and relocation areas;

- Enhancing urban planning, upgrading, and development management capabilities; increasing community awareness and participation.

2. Investment Plan:

a) Total capital requirement:

The capital requirement for urban upgrading for cities from Class IV and above, implemented from 2009 to 2020, is estimated at approximately 175 trillion VND

b) Implementation plan:

Implementing the Program from 2009 to 2020 from the state budget, official development assistance (ODA), and other domestic and international sources of funds. Among them, selecting some priority cities to establish urban upgrading projects from 2009 to 2015 using ODA funds, particularly World Bank (WB) support according to specific plans.

After 2015, gradually reduce ODA loan sources, diversify various types of funding sources.

Cities from Class IV and above nationwide will be invested in upgrading in phases based on an assessment of the general level of development regarding investment conditions as follows:

- From 2009 to 2015 includes pilot cities prioritized for upgrading;

- From 2010 to 2016 invest in upgrading 30% of the total number of cities, among which, prioritize all cities from Class II and above, accounting for 55% of cities during this phase, and cities from Class III account for 45%;

- From 2011 to 2018 continue investing in upgrading 30% of the total number of cities, among which, prioritize remaining cities from Class III, accounting for 65% of cities during this phase, and cities from Class IV account for 35%;

- From 2013 to 2020 invest in upgrading the remaining cities.

IV. SOURCES OF FUNDS

1. State budget funds:

- Central budget;

- Local budget.

2. Official Development Assistance (ODA) funds:

- Non-repayable aid;

- Preferential loans.

3. Domestic sources of funds:

- Contributions from the local community;

- Urban Development Fund;

- Support and investment from other organizations and individuals.

V. IMPLEMENTATION

1. The Steering Committee of the Program, chaired by the Ministry of Construction, members comprising representatives of relevant agencies shall be responsible for:

- Directing the formulation of implementation plans for each phase;

- Proposing management mechanisms and policies;

- Coordinating with central-level agencies, provincial-level agencies, domestic and international investment organizations during the implementation of the Program.

2. The Ministry of Construction:

- Chairing and coordinating with the Ministry of Planning and Investment, the Ministry of Finance, and related agencies to develop plans, compile annual investment portfolios for urban upgrading, and submit them to the Government for approval;

- Chairing and coordinating with the Ministry of Planning and Investment, the Ministry of Finance, and related agencies to guide, urge, inspect, and monitor the People's Committees of provinces and centrally-administered cities in implementing the Program in accordance with urban upgrading goals and contents, and compiling annual implementation results;

- Coordinating with the People's Committees of provinces and centrally-administered cities with priority urban upgrading pilot cities proposed for World Bank funding support to promptly implement plans to mobilize preferential World Bank funds.

3. The Ministry of Planning and Investment:

- To take the lead and coordinate with the Ministry of Construction and relevant agencies to compile and submit to the Government for approval the annual capital plan for the Urban Upgrading Program;

- To take the lead and coordinate with the Ministry of Construction to gradually include cities in the list of programs and projects requiring ODA funding annually and submit to the Government for approval.

4. The Ministry of Finance: to take the lead and coordinate with the Ministry of Construction and the Ministry of Planning and Investment to study and develop financial mechanisms and policies to encourage and mobilize domestic and international sources of capital for urban upgrading investment.

5. The State Bank of Vietnam: to develop credit mechanisms and policies for urban upgrading.

6. People's Committees of provinces and centrally governed cities:

- To directly manage the investment capital for implementing projects under their jurisdiction according to the Program;

- To direct the People's Committees of cities under provincial jurisdiction and directly implement for centrally governed cities in the development of annual urban upgrading plans, report to the Ministry of Construction for consolidation and support implementation;

- To mobilize resources (local budget, community contributions, and other lawful sources of capital) to invest in technical infrastructure projects within the Urban Upgrading Program according to their jurisdiction;

- To organize and effectively implement urban upgrading projects under the Program within their management area according to approved plans, regularly reporting to the Ministry of Construction.

12/2025/TT-BNNMT dated June 19, 2025 issued by the Minister of Agriculture and EnvironmentThis Decision takes effect from the date of issuance.

Article 3. The Ministers, Heads of ministerial-level agencies, Heads of government agencies, Chairpersons of provincial People's Committees under the direct jurisdiction of the central government shall be responsible for implementing this Decision./.