Hanoi remains the most expensive city in Vietnam in 2025 as regional cost-of-living gaps narrow

Hanoi remains the most expensive city in Vietnam in 2025 among 34 centrally administered provinces and cities, according to the Space-based Consumer Price Index (SCOLI). SCOLI is a relative indicator (expressed as a percentage) that reflects differences in prices of daily consumer goods and services across provinces and centrally administered cities, as well as across socioeconomic regions within a given period, usually one year.

Regional SCOLI rankings in 2025

By socioeconomic region, the Red River Delta continues to be the most expensive region in the country, while the Southeast ranks second. In 2025, using the Red River Delta as the baseline (SCOLI = 100), the Southeast region recorded a SCOLI of 98.88%.

• Northern midland and mountain area: 98.63%
• Central Coast and Central Highlands: 96.59%
• North Central Coast: 96.11%
• Mekong Delta: 95.11%

The gap between the highest- and lowest-cost regions is 4.89 percentage points, indicating only a modest difference in living costs across regions.

Why the Red River Delta remains costliest

The Statistics Department said the Red River Delta remains the costliest region because it is a key northern economic hub and the national political-administrative center, with Hanoi at its core. The region is also a major trade hub connected to northern provinces and international markets through relatively integrated transport infrastructure.

It cited “stable economic development, high population density, and rapid urbanization” as main factors keeping the price level high. The department also noted that the region’s consumption structure is heavily weighted toward services such as rental housing, health care, education, and dining out.

Housing and land prices in Hanoi and other central urban areas have risen due to limited land supply alongside strong demand, pushing up rents and living costs. In addition, higher-quality education and health services concentrated in the area contribute to the higher SCOLI in the Red River Delta compared with other regions. The department added that input costs—such as rent, labor costs, and services in major cities—are high, raising production, business, and supply costs for goods and services and affecting residents’ consumer price levels.

Locality results: Hanoi highest, Vinh Long lowest

When calculated by locality, Hanoi remains the highest-cost city in 2025. Quang Ninh ranks second with a SCOLI of 98.56% of Hanoi’s, followed by Hai Phong at 98.43%. Ho Chi Minh City ranks fourth at 97.96%, and Da Nang is fifth at 97.89%.

Conversely, Vinh Long has the lowest living costs in the country. Its SCOLI in 2025 is 91.47% of Hanoi. The average price levels for various goods in Vinh Long range from 75.79% to 114.99% of Hanoi. Gia Lai is the second-lowest at 92.62% in 2025, and Ca Mau follows at 92.97%.

Implications and price-gap narrowing

The 2025 SCOLI results indicate that price differences across regions and localities are not large. High prices are concentrated mainly in large economic centers with rapid urbanization and high consumer demand, while localities with abundant food and lower living costs maintain lower price levels.

The statistics agency also pointed to the development of distribution systems, logistics, and especially e-commerce as factors that improve market transparency, increase competition, and narrow price gaps across regions. It said this reflects effective price management, helping balance supply and demand for essential goods and supporting price stability nationwide.