CITY: HO CHI MINH CITY COUNTRY: Viet NamBACKGROUND+Ho Chi Minh CityHo Chi Minh City, known as Saigon until 1976, was the capital of the French protectorate of Cochinchina from 1862 to 1954, and of the Republic of Viet Nam (formerly South Vietnam) from 1954 to 1975. The most populous city in Vietnam, Ho Chi Minh City is located on the Saigon River, north of the Mekong River delta. Under French colonial rule, as capital of Cochinchina, the small town of Saigon was transformed into a major port city and metropolitan centre. In particular, Saigon’s economic impor- tance stemmed from a growth in transportation facilities (expansion of the city’s port facilities and the development of regional railways), which greatly enhanced the regional agricultural industry. Shortly after World War II, the declaration of independence by Vietnamese nationalists led to the First (or French) Indochina War between French forces and the Viet Minh independence movement. The war ended in 1954 with the Geneva conference, which divided Viet Nam into North and South Viet Nam. During the Second Indochina War (the Viet Nam War) of the 1960s and 1970s, Saigon served as head- quarters of United States military operations. Parts of the city were destroyed by fighting. North Viet Nam captured the city of Saigon from the American forces in 1975, and in July 1976, the two Viet Nams were united as the Socialist Republic of Viet Nam. Saigon, was renamed as Ho Chi Minh City, and lost its national administrative functions to the capital city of Hanoi in northern Viet Nam.DEMOGRAPHIC CHARACTERISTICSHo Chi Minh City is the largest city in Viet Nam. In 2000 it had an estimated population of 4.6 million (Figure 1). The city is densely populated, with 1,666 inhabitants per square kilometre. The average annual population growth rate was slightly over 4 per cent during the 1970s, but this declined to 1.5 per cent during the 1980s and 1990s. The annual growth rate is projected to increase substantially dur- ing the next 15 years (Figure 2).Figure 1. Population of Ho Chi Minh City (1950–2015)8000 7000 6000 5000 4000 3000 2000 1000Projected population growth1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015Year[Source: United Nations, 2001]

Figure 2. Average annual population growth rate of Ho Chi Minh City (1950–2015)54321Projected population growth rate[Source: United Nations, 2001]YearPopulation (Thousands)Population growth rate1950–1955 1955–19601960–1965 1965–19701970–1975 1975–19801980–1985 1985–19901990–1995 1995–20002000–2015 2005–20102010–2015Figure 3. Percentage of total population of Viet Nam residing in Ho Chi Minh City (1950–2015)8

7654Projected percentage1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015YearFigure 4. Percentage of urban population of Viet Nam residing in Ho Chi Minh City (1950–2015)353025[Source: United Nations, 2001]Projected percentage1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015Year[Source: United Nations, 2001]Percentage of total population Percentage of urban populationTremendous rural-urban migration took place during the Viet Nam War, with the proportion of the population residing in urban areas rising from 13 per cent in 1950 to more than 24 per cent in 1970.The percentage of the Viet Nam’s population residing in Ho Chi Minh City (then Saigon) alone grew from 4 percent in 1950 to nearly 6 per cent in 1970 (Figure 3). Following the end of the Viet Nam War and the reunification of the North and the South, the government introduced a policy of deurbanization in order to slow urban growth.This contributed to moderating the rapid population growth observed in many other major cities of Southeast Asia, and today, Viet Nam is under-urbanized compared to other developing countries in South-east Asia, with 80 per cent of its population still living in rural areas. Apart from the government’s deurbanization policy, the decline in urban population growth seen dur- ing the period 1979–1989 can also be attributed to deaths resulting from military action, large-scale emigration following the fall of Saigon, and emigration because of resistance to Government national- ization programmes. Ho Chi Minh City’s share of the national urban population also declined during this period, from 6.5 per cent in 1980 to 5.9 per cent in 1990 (Figure 3). In more recent years however, the government has ended programmes to disperse the population over the entire territory, and the growth of very large cities is presently encouraged with the aim of transforming them into major eco- nomic centres that welcome foreign capital. The government plans to direct urban growth and to spread it over a system of secondary cities. There is particular emphasis on the development of ‘agro- towns’, which have the economic function of bringing together agricultural production and small-scale industry. In light of these changes in government policy, demographers are now projecting Ho Chi Minh City’s regional population to increase at a much faster rate over the next two decades.The city’s average annual population growth rate is predicted to rise from 1.53 per cent per annum during the period 2000–2005, to 2.48 per cent per annum by the period 2010–2015 (Figure 2). This rate of increase would result in a population of 6.2 million in 2015 (Figure 1).Ho Chi Minh City’s age profile is signif- icantly younger than that of most Southeast Asian cities. In 1989, 18.8 per cent of the city’s residents were between 0 and 15 years of age; 76.6 per cent were between 15 and 64, and 4.7 per cent were over 65 (Figure 5). In 1989, females comprised a 53.6 per cent majority of the city’s residents.ECONOMYHo Chi Minh City, the largest industrial centre in Viet Nam, focuses predomi- nantly on light industry, especially textiles. The city and its surroundings have lured more investors than any other area in Viet Nam. By 1993, Ho Chi Minh City had attracted three fourths

of the country’s foreign invest- ment. The city presently accounts forapproximately one third of Viet Nam’s GDP, and the per capita income in 1998/9 was more than 4 times the national average. This was not always the situation however, as immediately following withdrawal of the United States from Viet Nam after the Viet Nam War, the economy reverted to centralized control. During the 1970s, Vietnamese government planners emphasized agricultural development in the rural areas to help provide for the country’s basic food needs rather than industrial development for export. It was not until 1986 that the Vietnamese government sought to attract foreign investment in order toFigure 5. Ho Chi Minh City's age structure profile (1989)>6415–64<15[Source: Ness, 1999]encourage industrial development, primarily for export purposes. Since then, Viet Nam and Ho Chi Minh City itself have been shifting from a government-controlled to a more private economy. A major attraction to foreign investors is the relatively low cost of labour. In particular, low labour costs in the Ho Chi Minh City region have attracted investors to the textile, garment, and rubber industries. Other leading industries are food processing, basic machinery and industrial goods, plastics, chemical prod- ucts, construction, and building materials. In the 1990s the Ho Chi Minh City region became a leading Southeast Asian tourist destination for North American and Western European visitors. It is feared how- ever, that a housing shortage in Viet Nam, including Ho Chi Minh City, will hinder foreign investment. In addition, with the post-war baby boomers now entering the labour market, unemployment is likely to be an increasing problem.INFRASTRUCTURE AND SOCIAL SERVICESShelterThe Vietnamese Government has played a major role in constructing housing in Ho Chi Minh City, and much of the city’s best accommodation is built by the Government. Apart from state-owned housing, a relatively high proportion of urban housing is privately owned. Approximately 67 per cent of houses are privately owned, and 75 per cent are semi-permanent and temporary. During the 1990’s, the Gov- ernment introduced an economic liberalization programme, which contributed to increased in-migra- tion from rural areas to the central city.This placed added pressure on the city’s already over-burdened housing infrastructure. The average inhabitable space in the city is 7.2 square metres per person (including temporary and damaged housing). Eighteen per cent of households have only three square metres per person, and 11 per cent have less than one square metre per person. The urban population influx has created a great need for housing, and many newcomers have been forced to build temporary dwellings in the city’s open spaces and outlying areas. Although these have helped ease the housing shortage, they pose a potentially serious health and sanitation problem, due to the limited availability of clean water and sanitary facilities. In addition, approximately 1.2 million square metres of shanty towns must be demolished and more than 40 per cent of houses in the inner city are in urgent need of renovation and repair. In response to these housing problems, the government is moving towards a new policy of cooperation between the government and the people, including opening the housing sector to private and foreign capital.TransportThe primary form of vehicular transport in Ho Chi Minh City is the bicycle. A bus system also serves the city. During the Viet Nam War, the regional transportation infrastructure sustained extensive damage. The government has since repaired and modernized the

network of roads and railways to accommo- date domestic and international freight and cargo transportation. Ho Chi Minh City is the leading trans- portation centre in southern Viet Nam, with major railway links, highways, a nearby port facility and an airport that serves both domestic and international air carriers.HEALTHHo Chi Minh City has a system of health clinics, and a total of 33 hospitals. The clinics serve the basic health care needs of the local population, and residents of the city have relatively greater access to health care facilities and services than rural residents. In 1990, there were on average 0.5 physicians per 1 000 residents. Life expectancy and infant mortality rates in Viet Nam (including Ho Chi Minh City) are comparable to those for cities in the Philippines and Indonesia. In 1990, Ho Chi Minh City had 20.7 births and 5.5 deaths per 1 000 residents (Figure 6).Figure 6. Vital statistics and health care in Ho Chi Minh City (1990)CATEGORY DATABirths per 1 000 residents 20.7 Deaths per 1 000 residents 5.5 Hospitals33 Physicians per 1 000 residents 0.5YEAR AREA1990 Metro 1990 Metro 1990 Metro 1990 Metro[Source: Ness, 1999]ENVIRONMENTHo Chi Minh City currently faces numerous environmental problems. There are signs of increased air pollution, primarily due to the considerable number of motor vehicles and the lack of an efficient pub- lic transport system.The city has an average of 0.2 buses per 1000 people,a rate much lower than those of many other Asian cities. A rapid increase in private transportation (especially motorcycles) is the pri- mary cause for increasing road congestion and traffic jams. Other environmental problems facing Ho Chi Minh City are associated with inadequate waste water treatment, inadequate management of haz- ardous and solid waste disposal, and the absence of an efficient drainage system. Approximately 3 500 tons of solid waste are generated daily in Ho Chi Minh City, about 80 per cent of which is collected. The collected waste is then taken to open dump waste disposal sites.EDUCATIONIn 1989, approximately 45.6 per cent of all residents of Ho Chi Minh City aged between 5 and 24 were attend- ing schools or higher educational institutions. In 1990, of a total 693 257 students, 62.7 per cent were enrolled in primary education, 37.1 per cent in secondary education, and a remaining 0.8 per cent in higher education (Figure 7). Females accounted for almost 44 per cent of all students attending school in 1989. The city has a very high literacy rate (exceeding the national level of 93.7 per cent in 1995), and is the leading centre of higher education and research institutions.REPORTS SUBMITTED TO WKCRole of the private sector in the health systems of Viet Nam and Ho Chi Minh City Environmental health and health and welfare systems development in Ho Chi Minh City, Viet Nam City report on TBFigure 7. Education in Ho Chi Minh City (1990)HigherSecondaryPrimary[Source: Ness, 1999]

SOURCESNess, I. (1999) Encyclopedia of World Cities. Fitzroy Dearborn, Chicago.United Nations (1995) The Challenge of Urbanization: The World’s Largest Cities. UN, New York.

United Nations (2001) World Urbanization Prospects: The 1999 Revision. UN, New York.United Nations Centre for Human Settlements [HABITAT] (2001a) Cities in a Globalizing World: Global Report on Human Settlements 2001. Earthscan, London.United Nations Centre for Human Settlements [HABITAT] (2001b) United Nations Human Settle- ments Programme Global Urban Observatory, City Profiles: http://www.unhabitat.org/programmes/guo/ guo_cityprofiles.asp [accessed January 2003]