An Assessment of Housing for Low-income Groups in Danang : Phase II Report

In August 2004, in response to a request
from the Government of Vietnam (GOV), the WB/ IDA launched
preparatory activities for the Priority Infrastructure
Investment Project (PIIP) in Danang. The PIIP is a
multi-sectoral infrastructure investment initiative aimed at
poverty reduction and the promotion of economic growth. The
Project reflects the national goals set out in the
Comprehensive Poverty Reduction and Growth Strategy (CPRGS),
and is in line with the overall development priorities of
the City's Five-Year (2006-200) Socio-Economic
Development Plan (SEDP). The (PIIP) Project objectives are
to: i) improve the living conditions and productivity of low
income residents through better access to basic services;
ii) promote economic growth through strategic investments
that enhance mobility and increase private sector
participation in the City's economic development; and
iii) improve city and district level management through
institutional and human resource development and capacity
building. During the course of (PIIP) Project preparation
activities, the Government expressed a desire to include a
further sub-component to support the provision of housing
for poor households not affected by the Project. This
provided the rationale for the Assessment of Housing for Low
Income Groups in Danang, (hereinafter referred to as the Low
Income Housing Assessment Study (LIHAS)), which will
parallel, support and inform preparation of the PIIP
Project, while not being an integral part of it. The Study
will take account of Government housing policy as it affects
low-income households (LIH) in Danang. In this regard there
has been a move away from direct Government involvement in
house construction for the public sector service which was
found to be financially unsustainable. The scope of work is
based on two phases with the second phase consisting of
options and recommendations: this second stage report
contains: i) determination of the effective demand for
low-income housing; ii) description of alternative technical
standards for low income housing in the city; iii) overview
of the need for financing of low income households, the
demand for finance and different models of low income
household finance; iv) definition of an outline low income
housing policy for Danang City v) models of low-income
housing production with varying degrees of public and
private participation; vi) suggestions relating to the
institutional framework for public housing provision and management.