The project to build a road linking HCMC with Nhon Trach in Dong Nai Province will be kicked off next year with investment of around US$400 million, according to a source from the HCMC Department of Transport.
The project to build a road linking HCMC with Nhon Trach in Dong Nai Province will be kicked off next year with investment of around US$400 million, according to a source from the HCMC Department of Transport.
Having an estimated length of over 28 kilometers, the road will start at the Tan Van area, cross the Dong Nai River and end at Nhon Trach New City.
According to the Ministry of Transport, it has arranged 50% of the project’s investment from the South Korean government’s loan and will call for the rest from local and foreign enterprises under the public-private partnership model.
The road is one of a number of important projects contributing to the socioeconomic development of HCMC and the region and especially determining the rapid or slow development of Nhon Trach New City.
However, the road has stood still since 2002 when the Prime Minister agreed to implement the project under the build-operate-transfer (BOT) model. Its investment capital is most likely to be higher than the initial estimate of over VND2 trillion (below US$100 million).
The project’s feasibility study was finished in 2004 and its investment amounted to nearly VND6 trillion two years after that. The build-transfer model was also offered to investors.
South Korea’s Kumho Group proposed to build the two-kilometer Nhon Trach bridge, a component of the project, under the BOT model in 2007.
HCMC proposed issuing international bonds worth US$700 million in 2010 to carry out some major road projects, including one connecting HCMC with Nhon Trach.
Nevertheless, the project has been put on hold since then.
(Source:SGT)
