VOV.VN - More than three million foreign individuals and organisations have purchased apartments in Vietnam, and the number is expected to continue rising moving forward, heard a workshop held on July 13 in Hanoi to examine the potential for development of the Vietnamese real estate market.

The domestic real estate market is forecast to recover in the second half of the year thanks to policies issued so far in 2023.

The Government on June 30 issued Decree No. 44/2023/ND-CP on reducing the value added tax (VAT) in line with the National Assembly’s Resolution No. 101/2023/QH15 dated on June 24, 2023.

The market is witnessing a significant number of mergers and acquisitions as large corporations and investment funds quietly acquire real estate businesses and projects in Vietnam.

The State Bank of Vietnam (SBV) and relevant ministries are currently implementing a series of solutions aiming to increase the capital absorption of the economy amid low credit growth.

A conference discussing solutions to facilitate businesses' access to credit and promote capital absorption of the economy took place on June 19 in Hanoi.

Low credit growth has made large banks curb capital mobilisation and implement solutions for attracting borrowers.

Although the real estate sector has suffered a fall in foreign direct investment (FDI) attraction, experts are still optimistic about its prospects of the sector, especially the industrial segment which is described as a bright spot.

Mass dissolution and bankruptcy can strike so unexpectedly in the real estate sector that firms feel like they are living on borrowed time.

Cash flow always looks to more attractive investment channels with higher returns, so when interest rates decrease, cash flow will shift from the savings channel to the stock and real estate markets, according to experts.