Overview: Infrastructure construction continues to benefit from the trend of FDI flowing into Vietnam, along with the government’s plan to accelerate public investment disbursement. A large backlog in the medium and long term strengthens the business prospects of the construction sector. We believe that the signs of recovery in the real estate market will only become clear in 2025, when new regulations begin to take effect. Specifically, the 2024 Land Law and the 2023 Real Estate Business Law will address legal obstacles, particularly those related to land valuation, compensation, and site clearance. These changes will help investors accelerate project implementation, thereby increasing market supply. Consequently, the outlook for the residential construction and construction materials sectors in 2024 will be one of slight recovery, with no significant breakthroughs expected.

Stock recommendation: CTD, HHV, VCG, CII, HPG, NKG