Hanoi’s Ring Road 2.5 has been restarted with strong determination to complete ahead of schedule by the first quarter of 2026. The project is expected to ease traffic congestion in the southern part of the city and significantly impact the real estate market in the Dai Kim – Dinh Cong area of Hoang Mai District.
After thorough review, inspection, and investigation, many issues related to complaints and petitions have been clarified. According to the latest report No. 6354/BC-TTTP(P5) from the Hanoi Inspectorate (dated December 10, 2024), and the official notice from the Hanoi People’s Committee (No. 588/TB-VP, dated January 21, 2025), Chairman of the Hanoi People’s Committee, Mr. Trần Sỹ Thanh, chaired a special meeting to resolve obstacles and accelerate the construction progress of the project.
Following the meeting, Decision No. 902/QĐ-UBND was issued on February 24, 2025, authorizing the Hanoi Project Management Board for Transport Construction Investment to sign a contract appendix under the Build-Transfer (BT) format for the investment and construction of the Ring Road 2.5 project (Dam Hong – National Highway 1A section), located in Hoang Mai District. On May 9, 2025, the contract extension was officially signed, allowing the project timeline to be extended through the first quarter of 2026.
On May 27, 2025, at No. 325, Alley 192, Le Trong Tan Street (Dinh Cong Ward, Hoang Mai District, Hanoi), the project investor, Hoang Ha Construction Co., Ltd., held the groundbreaking ceremony to restart the construction of Ring Road 2.5. This event not only marked a critical milestone in terms of progress but also affirmed the investor’s strong commitment following the official contract extension granted by the Hanoi People’s Committee on May 9, 2025. Beyond its technical significance, the event carried major political and social meaning, demonstrating the city government’s determination to overcome difficulties and accelerate the project’s implementation.
The Dam Hong – National Highway 1A section of the Ring Road 2.5 project has a total length of 2.06 kilometers. This road plays a vital role in Hanoi’s transportation system by connecting the Dam Hong area (Thanh Xuan District), crossing the Lu River, to National Highway 1A. With a total investment of over VND 1,300 billion, the project is implemented under a BT contract, with payment made through a land-for-infrastructure arrangement involving the Northern and Northwestern expansion areas of the Dai Kim – Dinh Cong New Urban Area (from Giai Phong Street to Nguyen Xien Street).
The project originally broke ground in 2014 and was initially expected to be completed by 2017. However, by 2020, construction had to be suspended after reaching only about 40% of the total volume due to the expiration of the BT contract and the adjusted feasibility study report not being approved.
In light of the prolonged suspension, the Chairman of the Hanoi People’s Committee issued specific directives, requiring relevant departments and agencies to closely coordinate with the Hoang Mai District People’s Committee and the investor to thoroughly resolve legal obstacles and address petitions—especially those related to land clearance and the investment mechanism under the Build-Transfer (BT) model. After several months of review, the city officially extended the BT contract through the end of Q1/2026, providing the necessary legal framework for the investor to resume and continue project implementation.
In addition, the Hanoi People’s Committee has directed enhanced supervision of construction activities, requiring relevant units to provide regular progress reports to ensure the project is implemented on schedule and meets quality standards.
With land clearance now fully completed, the contract officially extended, and a clear political commitment in place, the BT project for Ring Road 2.5 (Dam Hong – National Highway 1A section) and the corresponding Dai Kim – Dinh Cong New Urban Area expansion (Northern and Northwestern zones) are now facing a major opportunity for revival after years of stagnation. Both residents and local authorities are placing high hopes on the development of a modern, well-connected road that will help drive growth in the southern part of Hanoi.
According to the project investor, upon receiving the official notice from the Hanoi People’s Committee, all relevant units promptly mobilized manpower, machinery, and equipment, while also reconstructing a detailed implementation plan broken down into phases. Construction plans have been adjusted to align with the new conditions, ensuring both progress and quality. The “day and night work” spirit has been thoroughly instilled across the entire contractor and supervision system, with the goal of completing the project on time.
From a project once labeled as “suspended,” Ring Road 2.5 is now making a strong comeback, carrying with it great expectations for a modern, well-connected, and sustainably developed urban area.
A representative from Phu Quy Holdings, a long-time partner of the project since its groundbreaking, shared:
“Thanks to the timely and determined efforts of Party and State leaders in resolving obstacles, we are hopeful that the Ring Road 2.5—an especially vital part of Hanoi’s urban transportation network—will be completed soon. Once finished, it will provide seamless connectivity with key arterial routes, thereby enhancing real estate value, improving living conditions, and promoting regional socio-economic development. Particularly, areas like Dinh Cong, Dai Kim, and surrounding neighborhoods will witness rapid and transformative change every day.”
Updated progress on the Ring Road 2.5 BT project (Dam Hong – National Highway 1A section) and the corresponding Dai Kim – Dinh Cong New Urban Area expansion:
Land clearance: Fully completed, clearing the way for unhindered construction.
BT contract: Officially extended until the end of Q1/2026, providing legal assurance for continued work.
Construction progress: After the official restart on May 27, 2025, contractors have been operating continuously under a “day and night” schedule to meet deadlines.
Project adjustments: Construction plans have been updated to reflect current site conditions, ensuring better coordination and faster implementation.
Community and investor outlook: Optimistic, with increasing expectations for improved infrastructure, living standards, and real estate value in the southern districts of Hanoi—especially Dinh Cong and Dai Kim.
The project is now entering a critical phase, with strong political will, renewed investor commitment, and full administrative support—marking a new chapter for Ring Road 2.5 and the surrounding urban development.