From Meeting Criteria to Creating Greater Value

Completing the new rural development program in 2024 laid the foundation for Hanoi to move toward deeper development. Before implementing the two-tier local government model, all 382 communes had met new rural standards; 229 had achieved advanced standards and 109 had achieved model standards. Progress in infrastructure and essential services is creating new demands for jobs, incomes, the environment and the identity of each locality.

Nguyen Dinh Hoa, Deputy Director of the Hanoi Department of Agriculture and Environment, said: “Completing the new rural development program is not the endpoint but the beginning of a new journey.” Hanoi’s approach is to continue developing the rural economy in a modern and sustainable manner; promote ecological, organic and circular agriculture and value-chain linkages, while protecting the environment and improving people’s living standards.

Creative rural development is part of this process. It is not a new label, nor does it mean bringing an urban model to villages. The core is to identify agricultural products, handicrafts, heritage, landscapes, folk knowledge and community capabilities, then connect them with design, education, services, markets and technology to develop new products and business models.

In this approach, heritage spaces encompass more than architectural structures or tourist attractions. They also include workshops, village communal houses, rural markets, raw material areas, production landscapes, festivals and cultural practices that remain part of community life. According to Dr. Pham Thi Lan Anh, Head of the Heritage Management Department under the Hanoi Department of Culture, Sports and Tourism, appropriately connecting heritage with design, cultural tourism and digital technology can create new products without altering the structure, memories or daily life of village spaces.

Craft Villages Lay the Foundation for Creative Spaces

Hanoi currently has more than 1,350 craft villages. Four craft villages, namely Bat Trang, Van Phuc, Chuyen My and Son Dong, have joined the World Crafts Cities Network. According to Deputy Director Nguyen Dinh Hoa, craft villages provide jobs for nearly 800,000 rural workers, including about 250,000 regular workers. Their revenue exceeded VND25 trillion (US$961.5 million) in 2025, with products exported to more than 90 countries and territories.

Several models have emerged in practice. Hong Van Commune has developed a four-star One Commune One Product (OCOP) rural tourism destination combining agriculture with cultural experiences. In Bat Trang, pottery-making has become part of visitors’ journeys. In Duong Lam, architecture, cuisine, handicrafts and village life have been incorporated into tourism experiences, creating markets for lacquerware, gifts and heritage education.

Phu Dong Green Park demonstrates another cooperation model. Local authorities, businesses and universities jointly conduct activities linking training with practice. The An Long Toa exhibition by students of Hanoi Architectural University uses bricks, ceramics and the landscape along the Duong River to create works on site. Its location near Phu Dong Temple and Kien So Pagoda helps connect contemporary art with visits to historical sites, historical exploration and the use of local services.

However, the gap between potential and investment capacity remains significant. In Phu Vinh bamboo and rattan craft village, about 70% of households remain engaged in the trade, but only a few have invested in visitor experience spaces and facilities. Some artisans have renovated workshops and established exhibition rooms, but the lack of overall planning, parking areas, supporting facilities and a stable flow of visitors has limited returns.

Building Mechanisms for Creative Ecosystem

The challenges facing creative rural development stem from its cross-sector nature, while policies on agriculture, culture, tourism, land and construction are still implemented through separate programs. Meritorious Artisan Nguyen Tan Phat proposed that Hanoi pilot a mechanism for creative rural development, clearly defining land use, the scale of supporting facilities, architectural and environmental requirements, and establishing a focal point to assist with administrative procedures. This mechanism would reduce investment costs while controlling the risk of arbitrary construction or excessive commercialization of village spaces.

Nguyen Ngoc Dung, a lecturer at Vietnam National University of Agriculture, proposed grouping creative villages into clusters connected by heritage corridors and cultural tourism routes. This approach would help villages share markets, encourage longer visitor stays and avoid duplicated investment, while also requiring stronger creative skills, cultural management and organizational capacity among residents.

Digital transformation does not replace local content. Artisans, cooperatives and household businesses need skills in traceability, online sales and telling local stories through images and video. Technology can only have a lasting impact when communities can operate it themselves.

The effectiveness of creative rural development should be measured by jobs, additional income, the share of value retained by local people, the number of products accepted by the market, environmental quality and the ability to sustain traditional trades. Visitor numbers are only one indicator, as excessive development can put pressure on infrastructure and alter local lifestyles. Community participation in decision-making, business engagement along value chains and policies that create controlled spaces for experimentation can help villages develop their economies, improve quality of life and preserve local resources.