return icon Vietnamnet.vn

Financial obstacles need tackling to develop aviation infrastructure: experts

More specific mechanisms and legal frameworks should be created to attract funding to develop the local aviation sector’s infrastructure, which has yet to catch up with the sector’s overall development.

{keywords}

Vietnam Airlines aircraft are parked at Tan Son Nhat International Airport in HCMC. Many carriers have expressed interest in joining the management and operation of airports in Vietnam, but the country has no precedent for such partnerships - PHOTO: VNA

 

 

The seminar was part of the on-going Vietnam International Aviation Expo 2019, which is taking place in HCMC between November 26 and 28, reported Nguoi Lao Dong newspaper.

According to experts at the seminar, many carriers have expressed interest in joining the management and operation of airports across the country, but Vietnam has no precedent for such partnerships.

Also, the State and local aviation sector will have to deal with various issues to ensure economic growth and national defense when the operation of an airport is licensed to a private investor, to make the best use of the airport’s infrastructure.

Speaking at the event, Do Nguyen Khoat, vice president of the Vietnam Association on Aviation Science and Technology, said that the Government has adopted the correct position in calling upon private investors to take part in national infrastructure projects. This was demonstrated through time-efficient projects executed by private investors, while those implemented by State-run units usually faced cumbersome procedures, he added.

The State-owned Airports Corporation of Vietnam (ACV) manages and operates 21 of the 22 airports in the country. The remaining airport, Van Don airport in the northern province of Quang Ninh, is under the management of a private investor.

Among them, some eight of 21 airports are profitable, while the others prompt ACV to channel revenues from profitable airports to offset their losses, said Khoat.

Accordingly, he suggested other measures be applied in calling on private funding for the airports, since private investors chiefly eye profitable airports to make investments.

Estimates from experts indicated that the country’s demand for investing in infrastructure by 2030 is worth approximately VND3,000 trillion, excluding construction of expressway and waterway infrastructure.

Meanwhile, only VND150 trillion, or 5% of the demand, has been allocated from the State budget and approved by the National Assembly, in a midterm public investment plan until 2020.

In the local aviation sector, Vietnam is projected to have 28 operational airports by 2030, with 13 of them being international airports, according to the Ministry of Transport. This plan is expected to attract investment in the sector’s infrastructure, particularly from private investors.

Such international airports as Tan Son Nhat, Noi Bai, and Danang will need very large amounts of funding for upgrade and expansion, opening up many opportunities for investors. SGT

Vietnam’s aviation market heats up with new carriers

Vietnam’s aviation market heats up with new carriers

Vietnam will catch up with Thailand in the number of domestic air carriers, just second to Indonesia, when all air carriers that have applied for a license begin operation.

Vietnamese aviation market under double pressure

Vietnamese aviation market under double pressure

The Vietnamese aviation market grew slowly in the first half of 2019, falling far short of the double-digit average growth in 2013-2018.

MORE NEWS

Central bank not tighten real estate credit: Deputy Governor

The State Bank of Vietnam (SBV) has never issued any documents or statements ordering credit for real estate be tightened, Deputy Governor Dao Minh Tu said on February 8.

Vietnamese Prime Minister starts official visit to Singapore

Prime Minister Pham Minh Chinh, his spouse, and a high-ranking Vietnamese delegation arrived in Changi Airport on February 8 afternoon, starting a three-day official visit to Singapore.

Businesses discuss ways to overcome challenges in 2023

Warned that uncertainties will still exist in 2023, businesses need to prepare well to weather the storm.

Vietnam's bond market remains quiet this year

The scale of debt in the corporate bond market is less than 15 per cent of GDP.

Organ trafficking in Vietnam driven by high demand, low rate of donation: experts

A conference on organ donation registration and the prevention of human organ and tissue trafficking was held on Monday.

VCCI proposes allowing businesses to set fuel retail prices

The Vietnam Chamber of Commerce and Industry (VCCI) has written to the Government suggesting fuel retail prices be decided by businesses based on supply and demand to prevent fuel shortages.

VIETNAM NEWS HEADLINES FEBRUARY 8/2023

Vietnam puts children at centre of development policies, strategies: Ambassador

Gov’t issues action plan to realize Hanoi’s development vision until 2045

The Government has issued an action plan to realize Politburo’s resolution on the objectives for Hanoi’s development until 2030, with a vision to 2045.

Commercial sidewalk use may be charged by HCMC authorities

HCMC is planning to allow the paid use of sidewalks for commercial purposes such as vending goods or parking if these business activities leave a space of at least 1.5 meters wide for pedestrians.

CAAV advises caution when buying air tickets

The Civil Aviation Authority of Viet Nam (CAAV) has received feedback on the fact that passengers have to buy air tickets higher than the specified prices on domestic routes, especially during the peak of the Lunar New Year (Tet).

Prime Minister leaves Hanoi for official visits to Singapore, Brunei

Prime Minister Pham Minh Chinh, his spouse and a high-ranking delegation of Vietnam left Hanoi at noon on February 8 for official visits to Singapore and Brunei from February 8-11.

US war veteran wishing to return wartime diary to Vietnamese family

Pater Mathews, a US war veteran, has emailed relevant agencies of Ha Tinh province, central Vietnam, expressing his desire to fly to Vietnam and return a Vietnamese martyr’s diary he came across decades ago to the martyr’s family.

VIETNAM BUSINESS NEWS FEBRUARY 8/2023

January payment transactions via national public service portal valued at 11.8 mln USD

Vietnam needs new products, services to reach tourism targets

To realise the targets of attracting 110 million tourists and earning some 650 trillion VND (27.5 billion USD) in revenue this year, Vietnam is recommended to develop more products and services to offer new experiences to visitors.

PM Chinh’s Singapore visit expected to advance bilateral trade ties

Prime Minister Pham Minh Chinh’s Singapore visit from February 8-10 aims to affirm the determination to elevate the bilateral economic ties to a new height in the context of many free trade agreement (FTAs) coming into force.
back_to_top