Bien Hoa-Vung Tau Expressway Development Joint Stock Co. (BVEC) inked a deal with six commercial banks to fund the VND3.3-trillion project expanding the National Highway 51 on Monday.
Bien Hoa-Vung Tau Expressway Development Joint Stock Co. (BVEC) inked a deal with six commercial banks to fund the VND3.3-trillion project expanding the National Highway 51 on Monday.
Under the credit agreement signed on Monday, the six banks offer close to VND2.4 trillion, or US$125 million, equivalent to 72.16% of the total invested capital. The six banks are Bank for Investment and Development of Vietnam (BIDV), Vietnam Export Import Commercial Bank, Asia Commercial Bank, Vietnam Bank of Agriculture and Rural Development, Vietnam Bank for Industry and Trade, and Dai A Commercial Bank.
The expansion of the 72.7-kilometer road running through Dong Nai and Ba Ria-Vung Tau provinces will take three years from August 2. It will be widened from 32.9 meters to 39.3 meters to have eight lanes and allow for a design speed of 80 kilometers an hour.
The project also includes expanding 10 existing bridges and building 12 new bridges.
The consortium of investors, comprising Vietnam Urban and Industrial Zone Development Investment Corporation (IDICO), Song Da Corporation and BIDV, accounts for around 27.8% of the total investment capital. The project will be developed under BOT (build, operate, transfer) form.
IDICO general director Nguyen Van Dat said the project would meet cargo transport demands of major ports in Cai Mep-Thi Vai area and industrial parks along the highway.
Along with the Long Thanh-Dau Giay Expressway to be developed, the highway will help boost economic development of the southern key economic zone including the two provinces.
(Source: SGT)
