Year of transport milestones ahead

In a move to boost public investment disbursement in 2021, key transport projects for the country have been kicked off, hoping to create new motivations towards Vietnam’s socioeconomic development.

The My Thuan-Can Tho Expressway project costing VND4.83 trillion ($210 million) began construction on January 4. Once completed in the next two years, the expressway – together with Ho Chi Minh City-Trung Luong Expressway, Trung Luong-My Thuan Expressway, and My Thuan II Bridge – will create a completed expressway network between Ho Chi Minh City and the Mekong Delta city of Can Tho, thus shortening travel time by two hours and easing traffic jams.

Addressing the event, Prime Minister Nguyen Xuan Phuc said that a number of transport projects connecting the region will be kicked off imminently, thus contributing to regional socioeconomic development. They include Can Tho-Ca Mau Expressway and a 400-km coastal road along regional provinces.

A day later on January 5, work began on the long-awaited Long Thanh International Airport, which will become Vietnam’s largest. Total investment for the first phase reaches $4.74 billion.

The airport will enhance national air infrastructure, helping meet growing trade flows and travel demands. It is predicted that this airport is likely to contribute about 3-5 per cent of the country’s GDP once in operation.

1526 p4 year of transport milestones ahead

Along with Long Thanh International Airport and My Thuan-Can Tho Expressway, the transport sector will carry out a number of other key national projects this year, including sections of the North-South Expressway’s eastern cluster, transport projects connecting the Central Highlands, and other initiatives connecting northern mountainous provinces, urban railways, and more.

The transport sector, and Vietnam as a whole, is determined to accelerate public investment disbursement in order to create a driving force for national socioeconomic development for the 2021-2025 period amid carrying out the dual tasks of fighting COVID-19 and developing the economy.

The infrastructure works also reflects in line with the government’s newly-issued Resolution No.01/NQ-CP on tasks and solutions for implementation of socioeconomic development and state budget estimation in 2021; and Resolution No.02/NQ-CP on improving the domestic business climate and national competitiveness – with development of infrastructure among the top tasks.

According to Minister of Transport Nguyen Van The, the ministry has been allocated about VND43 trillion ($1.87 billion) worth of public investment this year, up 1.1 per cent from 2020, and making up about 10 per cent of the country’s total. Therefore, good performance in public investment by the transport sector will greatly contribute to national results.

 

He told VIR, “The prime minister issued Directive No.11/CT-TTg last March, focusing on measures to accelerate public investment disbursement and fast-track the completion process of infrastructure projects in an effort to spur economic development during the pandemic, and support this in the long term.”

Transport is proving its increasing importance on growing trade and global integration. The country’s trade flows are concentrated at 12 of its 48 border gates – two airports, five seaports, and five border crossing points – which collectively handled 86 per cent of total trade value. As trade grows, congestion at and near these international gateways and border-crossing points has also increased.

According to senior financial expert Nguyen Tri Hieu, Vietnam and other countries are speeding up infrastructure projects and public investment ventures as an effort to recover the economy after the coronavirus crisis. “With strong determination, the government will strive to help ensure resources for these projects,” Hieu noted.

Vietnam saw improvements in public investment disbursement in 2020 thanks to the government’s documents to fast-track such work. According to a report from the Ministry of Finance, the country is estimated to have disbursed VND389.98 trillion ($16.95 billion) by the end of December, meeting 82.8 per cent of the target set by the prime minister and making it the highest rate in the 2016-2020 period.

Transport is among the sectors reporting the highest rate of public investment disbursement in 2020, when it disbursed about VND39.82 trillion ($1.73 billion), fulfilling 100 per cent of the yearly target.

Experts predicted that public investment disbursement will be further improved from this year on the back of the Law on Public Investment 2019, which took effect on January 1, because it forces ministries, agencies, and localities to perform better – otherwise they will have capital allocation reduced in the mid-term public investment plans. VIR

Bich Thuy

Key transport projects kick off in 2020

Key transport projects kick off in 2020

Construction of several national key projects, including the North-South Expressway and Long Thanh International Airports, have started.

HCM City to complete major transport projects at gateways by 2025

HCM City to complete major transport projects at gateways by 2025

HCM City plans to complete a number of major transport projects by 2025 that are expected to reduce traffic congestion at city gateways and improve connections to neighbouring provinces.

 
 

Other News

.
Businesses wait for bank debts rescheduling
Businesses wait for bank debts rescheduling
BUSINESSicon  15/09/2021 

A week after the State Bank of Vietnam issued Circular 14 on debt rescheduling to alleviate the difficulties faced by businesses due to the COVID-19...

When the two 'locomotives' restart at the same time
When the two 'locomotives' restart at the same time
FEATUREicon  14/09/2021 

Contributing about 45% of the country’s GDP, HCM City and Hanoi are considered the two engines pulling the national economy. Both must be healthy and go hand in hand to revive the pandemic-hit economy.

Post-pandemic economic recovery plans in the pipeline
Post-pandemic economic recovery plans in the pipeline
BUSINESSicon  14/09/2021 

The Ministry of Planning and Investment (MPI) plans to submit its economic recovery project to competent authorities for approval in October, with the 2022 to 2023 period to be identified as the ideal time for recovery efforts.

Plan to re-open Vietnam’s aviation market revealed
Plan to re-open Vietnam’s aviation market revealed
BUSINESSicon  14/09/2021 

The plan to restore the domestic air transport market, developed by the Civil Aviation Authority of Vietnam (CAAV), has been divided into three phases.

VIETNAM BUSINESS NEWS SEPTEMBER 14
VIETNAM BUSINESS NEWS SEPTEMBER 14
BUSINESSicon  14/09/2021 

Vietnam needs additional 1 million ICT personnel by 2030

Vietnamese billionaire enters $10 billion pork, animal feed market
Vietnamese billionaire enters $10 billion pork, animal feed market
BUSINESSicon  14/09/2021 

After successfully entering the fish sauce market, billionaire Nguyen Dang Quang has invested in two segments with high potential: the US$10 billion pork and animal feed market.

Decree for Fintech sandbox to be submitted in Q4
Decree for Fintech sandbox to be submitted in Q4
BUSINESSicon  14/09/2021 

The Government has issued a resolution to create a sandbox for financial technology (Fintech) in the country’s banking sector.

Over 60% of US firms will not consider shifting production out of Vietnam
Over 60% of US firms will not consider shifting production out of Vietnam
BUSINESSicon  13/09/2021 

A flash survey by the American Chamber of Commerce in Vietnam revealed that while many US companies' operations in Vietnam have been affected significantly by the pandemic, the majority do not want to shift production out of Vietnam.

Hao Hao instant noodles in EU: supplier to company used EO to sterilize materials
Hao Hao instant noodles in EU: supplier to company used EO to sterilize materials
BUSINESSicon  14/09/2021 

Acecook Vietnam, after checking up on material suppliers, has found that a supplier used Ethylene oxide (EO) to sterilize some materials.

VIETNAM BUSINESS NEWS SEPTEMBER 13
VIETNAM BUSINESS NEWS SEPTEMBER 13
BUSINESSicon  13/09/2021 

Banks on road for digital transformation

Fish harvesting teams need to be set up amid pandemic
Fish harvesting teams need to be set up amid pandemic
BUSINESSicon  13/09/2021 

Localities should establish groups and teams for harvesting fish that could facilitate the issuance of travel permits in groups instead of individual travel permits amid the COVID-19 pandemic.

Cold storage, sweet but high-hanging fruit
Cold storage, sweet but high-hanging fruit
BUSINESSicon  13/09/2021 

The trend of shoppers going online en masse is driving demand for cold storage facilities in most countries, with Vietnam seemingly among those with a severe short supply.

Vietnamese keen on cryptocurrencies: surveys
Vietnamese keen on cryptocurrencies: surveys
BUSINESSicon  13/09/2021 

According to a survey by Chainalysis, Vietnam's cryptocurrency market has grown by 881 percent year-on-year, ranking first out of 154 countries in the "Global Cryptocurrency Adoption Index 2021" ranking.

Agricultural by-products: a billion-dollar 'gold mine' in Vietnam
Agricultural by-products: a billion-dollar 'gold mine' in Vietnam
FEATUREicon  13/09/2021 

Agricultural by-products are called the "gold mine" of the Vietnam agricultural industry with up to 156 million tons per year. But these lucrative sources have been neglected for many years.

Hanoi woman earns over $14 million from writing apps for Google and Apple
Hanoi woman earns over $14 million from writing apps for Google and Apple
BUSINESSicon  13/09/2021 

A 29-year-old Hanoi woman earned VND30 billion (nearly $14.5 million) a year by writing software for Google Play and App Store, paying tax of VND23.4 billion (over $1 million).

VIETNAM BUSINESS NEWS SEPTEMBER 12
VIETNAM BUSINESS NEWS SEPTEMBER 12
BUSINESSicon  12/09/2021 

Vietnam continues to be attractive investment destination: HSBC

NA Chairman witnesses signing of deals between Vietnamese and European firms
NA Chairman witnesses signing of deals between Vietnamese and European firms
BUSINESSicon  12/09/2021 

NA Chairman Vuong Dinh Hue witnessed the handover of donations of medical supplies to Vietnam and the signing of several agreements between Vietnamese and European businesses at a ceremony held in Helsinki on September 11.

Real estate remains attractive to foreign investors
Real estate remains attractive to foreign investors
BUSINESSicon  11/09/2021 

With a total registered capital of nearly US$1.6 billion during January-August, real estate continued to rank third among 18 sectors attracting foreign direct investment (FDI).

Government issues resolution to support businesses
Government issues resolution to support businesses
BUSINESSicon  11/09/2021 

Facing the decline in resilience of businesses, cooperatives and business households in the rapidly spreading COVID-19 pandemic, the Government has issued Resolution No 105/NQ-CP on supporting businesses.

VIETNAM BUSINESS NEWS SEPTEMBER 11
VIETNAM BUSINESS NEWS SEPTEMBER 11
BUSINESSicon  11/09/2021 

Hanoi tax authorities collect taxes from Google and Apple content developers

 
 
 
Leave your comment on an article

OR QUICK LOGIN