At a conference held on August 13 by the Ministry of Construction (MoC), in collaboration with the Ministry of Science and Technology (MoST), to review the “Vietnam Sustainable Smart Urban Development Project for 2018-2025, with a Vision to 2030” (Project 950), Minister of Construction Tran Hong Minh stated that, with a strategic vision in the era of Industry 4.0, the Party and State have remained committed to transforming the growth model towards green, smart, and sustainable development. This commitment was set in motion in 2018, when the Prime Minister issued Decision No. 950/QD-TTg, laying the initial foundation for sustainable smart city development nationwide.
Major progress made
After nearly seven years of implementation, the project has delivered notable results, outlining key elements tailored to Vietnam’s smart city development. These include smart urban planning; smart city construction and management; and the provision of smart urban services for organizations and individuals, underpinned by robust urban technical infrastructure and information and communication technology (ICT) systems.
“At the central level, the MoC, together with other ministries and sectors, has developed and issued guidelines, criteria, and frameworks for smart city development,” Minister Minh said. “At the local level, many cities and provinces have introduced their own projects and plans for smart city growth. Many applications in transportation, healthcare, and education are already delivering tangible benefits for citizens and businesses. Smart city development is strongly linked with the national digital transformation process.”
The MoC report on project progress noted that, with a database of construction and urban planning, it has finalized regulations for providing planning information and built the National Construction and Urban Planning Information System. It has also worked with the Office of the Government to integrate the “Planning Information Provision” service into the National Public Service Portal, effectively meeting the information needs of citizens and businesses.
The Ministry of Finance has recommended that the Prime Minister approve a plan for developing and managing the National Planning Database, with the goal of establishing a connected, integrated, and shared national planning database that links related databases across ministries, sectors, and localities.
Regarding land databases, the Ministry of Agriculture and Environment has directed localities to speed up completion of land data systems this year for integration into the national land database, which will also link with the national population database. The Ministry is accelerating the “Development of the National Resource and Environment Database” project (Phase 1), focusing on building centrally-managed land data, harmonizing local and national systems, and enabling data sharing for administrative reform, digital transformation, and improved public services.
At the central level, four key land databases have been completed so far: land statistics and inventory; land-use planning; land pricing; and land survey and assessment. Locally, the Ministry has built four component datasets, including national and regional land use status; national land-use plans; land price frameworks; and regional / national land survey data.
Many cities and provinces are using land data to process residence-related procedures through the Ministry of Public Security’s full online public services.
Around the country, local governments are deploying smart city platforms, software, and services in fields such as transport, healthcare, education, electricity and lighting, water supply, public safety, and security monitoring.
Meanwhile, MoST has directed IT companies to ensure the readiness of ICT infrastructure for economic growth and smart city development.
Hurdles remain
Mr. Tran Quoc Thai, Director General of the Urban Development Agency at the MoC, said smart city development has brought tangible benefits to citizens, businesses, and the State. For citizens, it means access to smart services and transparent information on planning, healthcare, transport, and education, while for businesses it opens more transparent and efficient investment opportunities, supported by open data infrastructure and new State policies that encourage innovation and digital transformation. And for the State, it provides breakthrough tools for effective governance, enabling faster and more accurate decision-making.
However, the MoC noted that smart city development still faces major challenges. In terms of data, there is no shared, comprehensive database; and information remains incomplete, fragmented, and non-standardized, and lacks integration, with tension existing between data sharing and information security. Human resources are also insufficient, with no solid policy framework to develop the workforce needed for smart city deployment, and many staff are assigned on a part-time basis. Regarding regulations, localities often struggle with IT procurement due to rapid technology obsolescence and fluctuating prices. Cooperation with the private sector remains limited, and projects are often fragmented, small-scale, and largely in the pilot stage.
Additional difficulties stem from the two-tier urban governance model. In many cases, urban areas now have only ward-level administration, without cities or towns, requiring a redefinition of responsibilities for smart city development. Ongoing revisions to urban-related laws also affect the legal framework for smart cities.
Delegates at the conference agreed that smart city development is a shared national goal requiring contributions from multiple sectors and levels of government. Politburo Resolution No. 57-NQ/TW dated December 22, 2024, and Resolution No. 71/NQ-CP from the government highlight innovation, digital transformation, and smart city development as essential to national progress. But the rapid rise of enabling technologies such as digital transformation, AI, big data, and multimedia communications demands continuous policy adjustments.
The MoC also outlined key tasks for 2025-2030, including strengthening the legal framework; improving models, data architecture, technology, infrastructure, and standards; integrating GIS (Geographic Information System), remote sensing, and BIM (Building Information Modeling); applying AI in policy analysis; upgrading smart city criteria; and building a national urban data warehouse. It also emphasized creating a shared, secure, multi-sector urban database with strong local leadership; putting citizens at the center of service delivery; expanding access for disadvantaged groups; developing human resources through training and digital skills programs; innovating governance and building digital urban governments; fostering international cooperation; and encouraging public-private partnerships (PPPs) to mobilize investment and promote R&D in technology and innovation.
A representative from MoST stressed that the essence of a smart city is no longer about chasing technology or installing sensors and cameras, but about managing and operating cities more effectively through digital data and technology, with active participation from the State, citizens, and businesses. The aim is to improve quality of life, optimize resources, and ensure sustainable development in areas such as the environment, energy, and transport. Technology, they noted, is merely a tool, while the real challenge lies in governance, organization, and management goals.
Representatives from central Da Nang city and other localities called for the prompt establishment of legal frameworks, technical standards, and cost norms for smart city development, particularly clear mechanisms for PPPs and a national data architecture that localities can apply consistently, avoiding overlaps and fragmentation.
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