Public Investment Drives Lam Dong’s Growth Push
Public investment is seen as a key driver of Lam Dong’s double-digit growth, boosting infrastructure and creating spillover effects for broader socio-economic development.
Public Investment – A Key Growth Driver
Lam Dong has identified public investment as the top priority to achieve double-digit GRDP growth. Accelerating disbursement in 2026 is expected not only to spur growth and improve infrastructure, but also to unlock broader socio-economic development.
In the first quarter of 2026, the province’s GRDP grew by only 7.47%, falling 2.3 percentage points short of target and ranking 28th out of 34 localities nationwide. The slowdown was mainly due to underperformance in key sectors, particularly industry and construction.
Although construction accounts for around 24% of the sector, it grew by less than 17% in the first four months, largely due to slow public investment disbursement. As of April 21, only VND 884 billion had been disbursed, equal to 5.11% of the annual plan.
According to the Department of Finance, public investment has strong spillover effects, with every 1% increase contributing about 0.2% to economic growth. Delays are therefore constraining construction, slowing infrastructure projects and limiting broader economic activity.
Accelerating Disbursement, Project by Project
To achieve 10% growth in 2026, the industry-construction sector must expand sharply, reaching nearly 14% to over 15% in the remaining quarters.
The province is focusing on accelerating public investment disbursement by reviewing all projects, clarifying responsibilities among investors, contractors and local authorities, and expediting procedures for new projects.
Authorities will establish task forces to monitor progress and resolve bottlenecks on a project-by-project basis, with clear accountability assigned to each level and individual.
The message is firm: no room for delays. Underperforming contractors will be replaced, and localities lagging in site clearance will face strict action.
Ultimately, stronger accountability and decisive execution are seen as critical to overcoming bottlenecks and ensuring the effective implementation of growth measures.