During the past year, law-regulated documents guiding the implementation of the Construction Law were fully effective. As a result, the quality of projects was controlled strictly, while investors raised their responsibilities in the supervision stages of work, contributing to preventing wastefulness and losses and increasing the quality of construction projects.

According to project evaluation results from localities throughout the country, in 2005, around 92-94 percent of projects were classified as being above the average level, while the remainder were classified at the average level. The number of project that dissolved fell against 2004.

At a review conference of the Ministry of Construction, Deputy Prime Minister Vu Khoan praised the construction sector’s efforts for its fine State management performance in 2005. Most key construction projects belonged to construction project group A, with investment capital levels ranging from hundreds to thousands of billions of Vietnamese dong, making up 60-70 percent of total investment construction capital. The quality of these projects were ensured such as Thanh Tri, Vinh Tuy and Bai Chay bridges, Son La and Tuyen Quang hydro-power plants, Tan Son Nhat International Airport Station and the National Conference Hall. A number of key projects were highly rated by the National Appraisal Council.

In 2005, many operating projects brought about high investment efficiency such as Cai Lan Port, Hai Van Pass and several hydro-power projects. In addition, social and technical infrastructure facilities made positive changes compared to previous periods.

However, low-quality projects still exist, most of which focus on the final stage of building apartments. Some violations and negative phenomenon were reported and adversely affected enterprises’ reputation and position, but they were not a common occurrence. Nevertheless, such phenomenon must be eliminated entirely.

This year, the Ministry of Construction has set a target of actively integrating into the world economy. By doing so, each construction enterprise and the whole sector must secure power development, with State-owned corporations playing a key role.

The Ministry of Construction has set the requirements in the coming time as follows.

Investment must be linked to sustainable development, economic efficiency, capital preservation and growth.

All internal sources for capital must be mobilised and new technology must be applied to gradually meet the demands of the construction sector.

It is imperative to continue conducting decentralisation and raising the responsibility of those involved in capital construction investment, thereby reducing administrative interference in business operations.