HCM City is proposing a new urban administration model that aims to streamline the state governance system and ensure people’s rights and obligations.

District 2 will be merged with District 9 and Thu Duc District to become Thu Duc City

 The new model is expected to help solve major problems faced by HCM City and promote the city’s role in the southern region and the country’s development.   

 The city’s population and economic scale and density is the largest in the country, which requires that administrative decisions should be carried out by grassroots-level authorities, residents and enterprises in a timely, precise, and organised manner, as required by the model.

 The urban administration model is also expected to help shorten the time to develop plans for socio-economic development.

 Speaking at a conference on urban administration in HCM City Nguyen Thanh Phong, Chairman of the municipal People’s Committee, noted that the administration project was first proposed in 2007 and amended in 2013.  Legal problems delayed its implementation last year.

 The city began abolishing People’s Councils for a number of years ago in an effort to reduce overlapping functions and tasks of state governance and reduce expenditures.

 As a result, governance improved, according to Phong. However, the elimination of the councils was stopped in 2016. 

 In a rapidly developing urban area like HCM City, People’s Councils in districts and wards create an intermediate level that slows down the working process. And the authority assigned to councils is already limited. Abolishing these People’s Councils helps to streamline administrative procedures.

 Phong said that next year HCM City will restart the elimination of these People's Councils. The councils in 19 districts and 259 wards will be abolished around mid-year.

 After the conference, the Ministry of Home Affairs will submit a proposal on the new urban administration model to the Government for consideration and will then submit it to the National Assembly for approval at its next meeting, Deputy Minister Tran Anh Tuan said adding that the ministry will issue detailed regulations soon on how to carry out the National Assembly’s Resolution on building a new urban administration model in the city.

 In another city project, Thu Duc city will be developed by merging Districts 2, 9, and Thu Duc. The new city will have a People’s Council and People’s Committee.

 Thu Duc city will be expected to take the core role to speed up the city’s economy as the southern region’s main economic zone.

 After establishment, the new city will contribute nearly 30% of the city’s gross regional domestic product and 7% of the country’s gross domestic product.

 Huynh Thanh Nhan, head of the Department of Home Affairs, said that Thu Duc city will cover 211 square kilometres and be home to more than 1 million people.

 Thu Duc city will be developed into eight centres including Thu Thiem International Finance Centre, Rach Chiec Health and Sport Area, High Technology Centre, Educational Technology Centre, Tam Da Ecotechnology, Truong Tho Residential Area, Long Phuoc University Area and Cat Lai International Port.