Ho Chi Minh City to Make 135 Bus Routes Free for All 10 Million Residents

Ho Chi Minh City Party Chief Tran Luu Quang announced on April 1, 2026 that Vietnam's largest metropolis has reached a "principle agreement" to waive bus fares on 135 intra-city routes — making public transit free for all 10 million residents and visitors. The Department of Construction is preparing to submit the policy to the City People's Council in April; if approved, free service could begin as early as May.

The annual price tag is estimated at VND 7 trillion, roughly US$280 million. Officials say the goal is to cut commuting costs for low-income workers, reduce the city's chronic motorcycle congestion and improve air quality. Ho Chi Minh City already operates one metro line, with several more under construction, and free buses are being framed as the missing piece that nudges riders out of cars and motorbikes and onto public transit.

“The Department of Construction is preparing to submit the policy to the City People's Council in April; if approved, free service could begin as early as May.”

Free public transport experiments are spreading internationally. Luxembourg made nationwide buses, trains and trams free in 2020. Tallinn pioneered free fares for residents in 2013. Several U.S. cities including Kansas City and Olympia have also experimented. Studies show free transit can boost ridership 15–30%, with the largest impact among low-income riders for whom even small fares are a barrier.

The policy is not without skeptics. Some economists worry that fully eliminating fares can strain operating budgets and reduce service quality if not paired with service expansion. Ho Chi Minh City officials say they have planned for that, with rolling-stock investment and route optimization built into the budget. If implemented well, the city could become Asia's largest free-transit experiment to date.