Construction Corporation No. 1 - JSC (CC1) has just signed a cooperation agreement with the Vietnam Development Bank (VDB) to finance state investment credit for the implementation of infrastructure projects under the public-private partnership (PPP) model and social housing projects.
CC1 – VDB signs a 10,000 billion VND credit agreement.
VDB and Construction Corporation No. 1 – JSC (CC1) have just signed a cooperation agreement to finance state investment credit for the implementation of infrastructure projects under the public-private partnership (PPP) model and social housing projects.
Accordingly, during the period of 2026-2030, the total amount of state investment credit that VDB plans to finance for CC1's projects is 10,000 billion VND.
According to the agreement, the two parties will coordinate to mobilize and effectively utilize state investment credit funds managed by VDB and provide credit to investment projects included in the list of projects eligible for state investment credit loans, where CC1 is the investor or a member of a consortium.
At the same time, both parties commit to maintaining effective and mutually beneficial cooperation in related areas of operation, aiming towards the goals set by both sides during their operations and development. In addition, both parties will also jointly promote activities to support each other in expanding their respective operations in order to optimally utilize each other's strengths.
According to Mr. Le Bao Anh, General Director of CC1, throughout its development, VDB has partnered with CC1 on key and iconic infrastructure projects such as the Dong Nai Bridge BOT project; the Dakr'tih Hydropower Plant, etc., especially in the corporate restructuring program and corporate governance support. According to Mr. Bao Anh, this is a foundational phase, helping CC1 improve its governance capabilities, approach international standards, and gradually transform from a traditional construction company into a modern investment-development-construction enterprise.
“Besides infrastructure projects, CC1 identifies social housing not as a short-term activity, but as a strategic pillar in its sustainable urban investment-construction-development business model. The cooperation agreement for credit financing between CC1 and VDB, with a scale of 10,000 billion VND, is of particularly important strategic significance,” said the General Director of CC1.
“VDB always proactively seeks out and approaches projects, selecting clients with credibility, financial capacity, and implementation experience. With CC1, we recognize that this is a company with a long history of operation, accumulated experience, and a proven reputation and investment capacity, especially in the infrastructure sector and key infrastructure projects,” Mr. Dao Quang Truong, General Director of Vietnam Development Bank, shared at the event.
“We expect that after this cooperation agreement, many new projects will be implemented. It is known that CC1 plans to undertake many projects in the fields of transportation, infrastructure, and social housing in the near future. These are all areas included in the credit package that VDB is particularly interested in, and are also priority areas directed by the Government for implementation,” Mr. Truong said.
CPartnering with ethical and capable businesses for sustainable development., ensuring social security
Developing social housing for the people has been identified by the Party and the State as a political commitment, an important task of the Party and the entire political system, and one of the key priorities in the socio-economic development of the country. This is both a social security issue and a driving force for socio-economic development, contributing to increased investment and consumption, and ensuring social progress and equity.
The Prime Minister also issued Decision No. 444/QD-TTg dated February 27, 2025, assigning targets for completing social housing projects in 2025 and subsequent years up to 2030 to ministries, sectors, and localities for implementation. Although progress has been made in social housing development in recent years, achieving the goal of completing the construction of at least 1 million social housing units by 2030 remains a very challenging task with a large volume of work.
Therefore, to achieve the objectives of the entire Project, the Government unanimously directs all levels, sectors, and localities to develop social housing as an important political task, reflecting the positive nature of the regime, linked to the goal of socio-economic development, ensuring social security and stability of people's lives. It emphasizes mobilizing social resources, especially from large real estate enterprises with capacity, experience, social responsibility, and vision, while selecting major localities with high social housing needs for implementation.
With over 46 years of experience, CC1 is currently a leading and reputable general contractor and investor in the construction sector in Vietnam. In recent years, CC1 has gradually transformed from a traditional general contractor to an infrastructure investor, actively participating in PPP projects aligned with the national development strategy. Currently, the company is implementing nearly 70 construction and investment projects nationwide, many of which are large-scale projects entering the completion phase.
In fact, CC1 does not approach social housing as a new field, but rather with practical experience that has been proven effective from an early stage.
Since 2010, CC1 has been one of the pioneering investors in developing social housing in Ho Chi Minh City, with over 670 social housing units in the Hanh Phuc residential area (formerly Binh Chanh district). In addition, over 300 units were completed in the CC1 – Felix Homes project (formerly Go Vap district), which was also the first social housing project for which the Ho Chi Minh City Department of Planning and Investment returned the investment deposit, clearly demonstrating CC1's implementation capacity and legal compliance. These projects not only contribute to social welfare but also help CC1 accumulate experience in cost management, construction organization, operation, and distribution of social housing – key factors for implementing large-scale projects in the current period.
Based on new policies and accumulated experience, CC1 has also been proposed by the Ministry of Construction as one of 18 capable investors in the field of social housing development to report to the Government. CC1 is currently proactively preparing resources to strongly participate in the social housing market in the 2025-2030 period, with projects that have been and are being researched and proposed in Ho Chi Minh City, Dong Nai, Lam Dong, and satellite localities around industrial zones – where the pressure to meet social housing targets according to the Government's Resolution is very high.
In the context of infrastructure projects and social housing needs requiring large capital investments and continuous implementation, VDB's partnership with CC1 facilitates proactive financial resource management for the continuous implementation of large-scale projects, diversifying funding sources to optimize interest costs. This is also a crucial factor in enhancing the company's reputation with partners, suppliers, customers, and investors during its participation in large-scale projects.