On November 14, the People's Council of Kien Giang province held its 28th session (special session) to pass important draft resolutions. Among them, it passed the Regulations on support mechanisms for implementing social housing investment projects in Kien Giang province.
According to the Proposal of the Provincial People's Committee, currently, Kien Giang province is implementing support for social housing construction investment projects according to the general regulations of the Central Government such as: Incentives for exemption of land use fees for investors in social housing construction, land allocation for investors in social housing projects; exemption and reduction of value added tax, corporate income tax according to the provisions of the law on tax. Investors and buyers of social housing are entitled to preferential loans from the Social Policy Bank, Commercial Banks under the Credit Program of a loan package of 120,000 billion VND.
Kien Giang province has not yet developed a specific incentive mechanism for the province to support the implementation of social housing investment projects. According to references, no province in the Mekong Delta region has yet developed an incentive mechanism to support the implementation of social housing investment projects.
To attract investors to invest in social housing construction, the province needs to have preferential policies to support project implementation, helping to speed up construction investment progress, contributing to completing the target according to the Plan of 1 million social housing units of the People's Committee of Kien Giang province by 2030, which is 3,500 units.
The issuance of the Resolution on Regulations on support mechanisms for implementing social housing construction investment projects in Kien Giang province aims to create preferential conditions for investors in building social housing projects to promote the development of social housing.
The subjects of application are investors of social housing construction investment projects using trade union financial capital and capital outside of public investment as prescribed. Investors of commercial housing construction directly invest in social housing construction within the land fund reserved to perform social housing obligations as prescribed. State agencies, organizations and individuals related to investment activities in construction and development of social housing in Kien Giang province.
Funding from the provincial budget provides additional support to investors to encourage and promote investment in social housing development and contribute to reducing selling prices, rental prices, and social housing rental prices for beneficiaries. Accordingly, 50% of the investment cost for building technical infrastructure systems within the scope of social housing projects, excluding technical infrastructure systems inside the building, is supported, but not exceeding 5 billion VND/project.
