HCM City requires huge investment in infrastructure, and authorities have solicited investment of more than US$40 billion in the five-year period until 2020.
|HCM City’s metro line No 1 is being built between Ben Thanh Market in District 1 and Suoi Tien Tourist Park in District 9. — VNS File Photo|
Nguyen Thanh Phong, chairman of the city People’s Committee, said challenges like traffic problems and flooding have been acting as road blocks to economic development and competitiveness.
Insufficient resources for infrastructure development is one of the major reasons for these hindrances, he said.
The city requires nearly VND924 trillion (approx. US$42 billion) for 85 transport infrastructure projects, including 55 roads and bridges, seven for waterway transport, eight railway and 15 road works, he said.
The city requires $833 million worth of private investment in its metro lines.
They include the sections of line No 2 between Ben Thanh Market and Thu Thiem and between Tham Luong and Tay Ninh Bus Terminal.
Metro line No 3A from Ben Thanh Market to Tan Kien Terminal in Binh Chanh District and running through several districts will require $3.02 billion.
Metro line No 3B from Cong Hoa Crossroads to Hiep Binh Chanh will cost $1.88 billion.
Metro line No 4 between the Thanh Xuan and Hiep Phuoc urban areas will also run through multiple districts and cost $3.53 billion.
Line No 4B between Gia Dinh Park in Binh Thanh District and Lang Cha Ca Terminal in Go Vap District requires $1.33 billion.
All of them will be built in public-private partnership (PPP) mode, and the city has yet to tie up private funding for them.
Their construction has been entrusted to the HCM City’s Management Authority for Urban Railways (MAUR), which also plans to manage the construction of the monorail lines No 2 and 3.
HCM City has also solicited investment in the 27.2km line No 2 which is expected to cost $715 million and also be built in PPP mode.
The 12.8km line No 1 will cost $658 million.
The city’s requirement to fund a total of 210 infrastructure projects offers local and foreign investors a lot of business opportunities.
Many real estate companies hope to take part in the city’s transport infrastructure, urban infrastructure, urban renovation, and business-related services projects.
Chairman Phong said the city would create favourable conditions for enterprises to function efficiently and secure their rightful benefits.