3 big banks lend Long Thanh International Airport 1.8 billion USD

The project has the largest amount of funding in the banking industry

This afternoon (June 1), the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank), together with the Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank), the Vietnam Joint Stock Commercial Bank for Investment and Development ( BIDV ) and Vietnam Airports Corporation (ACV) held a signing ceremony for a credit contract of 1.8 billion USD (more than 45,000 billion VND) for Component Project 3 - Essential works in the airport under the "Long Thanh International Airport Construction Investment Project - Phase 1" with ACV as the investor.

Accordingly, Vietcombank is the leading bank participating in financing 1 billion USD, with the joint venture banks (NHHV) including VietinBank financing 450 million USD, BIDV financing 350 million USD. The quick arrangement of the above large-scale financing sources has timely supported the Investor ACV to sign construction contracts with contractors, meeting the project implementation progress under the close direction of the Prime Minister.

Prime Minister Pham Minh Chinh attended and delivered a speech at the signing ceremony.

This is the project with the largest amount of capital funding in the banking industry and is also the first project to be arranged entirely with medium and long-term USD sources from Vietnamese commercial banks, specifically State-owned commercial banks, with more competitive conditions compared to the option of ACV investor borrowing capital directly from international financial institutions.

The US$1.8 billion syndicated loan by state-owned commercial banks for a major project not only contributes to promoting safe and sustainable credit growth in the coming time but also demonstrates the position and strength of Vietnamese commercial banks in arranging capital for complex, large-scale projects. At the same time, the successful capital arrangement contributes to enhancing the position of Vietnamese commercial banks, creating initiative for domestic investors not to depend on foreign loans.

Mr. Nguyen Thanh Tung - General Director of Vietcombank said: "As the leading bank in arranging capital, Vietcombank commits to closely coordinate with the Investor ACV and the joint capital banks, arranging the best resources with the highest priority to ensure the disbursement progress meets the project implementation progress, contributing to creating new growth momentum for the economy".

At the signing ceremony, Mr. Lai Xuan Thanh - Chairman of the Board of Directors of Vietnam Airports Corporation (ACV) pledged to use the investment capital for the Long Thanh International Airport Project Phase 1 - Component Project 3 economically, strictly comply with the law, fight waste, negativity, and corruption; closely and effectively coordinate with contractors to implement the project to ensure safety, quality and especially ensure the right progress, strive to exceed the schedule, effectively contribute to the recovery and development of the country's economy, maintain the leading role in the management, exploitation, investment and development of the national aviation infrastructure assigned by the State.

State Bank Governor Nguyen Thi Hong said: The $1.8 billion syndicated loan signed today was arranged from medium and long-term capital sources of Vietnamese banks with more competitive credit conditions than those of international financial institutions, showing that the position, reputation and financial potential of the Vietnamese banking system are improving day by day; thereby creating initiative for domestic investors/enterprises not to depend on foreign loans; contributing more to the stable and long-term development of the country in general.

Prime Minister: Breakthrough development of commercial banks in arranging foreign currency capital

Speaking at the signing ceremony, Prime Minister Pham Minh Chinh stated that, based on the designation by the Investor ACV as the focal bank to arrange capital for Component Project 3 of Phase 1 of the Long Thanh International Airport Construction Project, Vietcombank, together with the joint venture banks VietinBank and BIDV, conducted appraisal and submitted to the State Bank for approval of the policy of medium and long-term foreign currency loans for the project with a very large total funding value of 1.8 billion USD, demonstrating a breakthrough development of domestic commercial banks in arranging foreign currency capital for customers.

In addition to contributing to promoting safe and sustainable credit growth, the funding of 1.8 billion USD for a large project such as Long Thanh International Airport is a clear demonstration of the position and strength of Vietnamese commercial banks in arranging capital for complex and large-scale projects. At the same time, the successful capital arrangement creates a new positive precedent to encourage and promote the initiative of domestic investors not to depend on foreign loans in the future.

The signing ceremony of the 1.8 billion USD credit contract for the Long Thanh Airport Project took place this afternoon (June 1).

The Prime Minister noted that these are only initial results that are commendable and encouraging, but we absolutely must not be negligent, subjective, or "rest on our laurels". In the coming time, the Prime Minister requested that units continue to uphold their sense of responsibility, further promote the determination to "only discuss and do, not retreat", "say and do", "do what you say", "say and do what you do" to speed up the construction progress, improve the quality of completion of works and items of the Long Thanh International Airport Project, meeting and exceeding the set goals and targets.

The Prime Minister requested that the investor ACV and the State Capital Management Committee at enterprises continue to coordinate and accompany the joint-capital banks to implement the Long Thanh International Airport Project to meet the loan commitment, effectively disburse on schedule and ensure quality. In particular, special attention should be paid to the coordination of progress and completion time of the remaining bid packages to avoid conflicts and intersections during construction, ensuring the connectivity and progress of the entire project; Early research and proposal of plans to implement preparations for the construction of phase 2 so as not to affect the exploitation activities of phase 1, on the basis of adjusting the investment policy of the phase 1 project.

The Prime Minister requested the Ministry of Transport to be responsible for overall coordination, discipline in updating, monitoring progress, and connecting all component projects. In particular, it is important to ensure the overall nature and connection of the component projects with the infrastructure construction packages connecting Long Thanh International Airport with provinces and cities; Preside over and direct the selection of investors for Component Project 4 "Other works", ensuring that the Long Thanh International Airport Project Phase 1 is put into operation on schedule...

For Dong Nai People's Committee, the Prime Minister requested to accelerate the progress of site clearance to complete the handover of the site; must commit not to slow down the construction progress of the project. In particular, it is necessary to urge and direct Long Thanh District People's Committee and related units to complete site clearance, relocate technical infrastructure for 2 connecting traffic routes and 2 drainage routes outside the project boundary, in which connecting traffic route No. 1 is the main route to ensure the transportation of goods, materials, construction equipment serving the construction of the Passenger Terminal and other construction items...

An Ha

Source: https://www.congluan.vn/3-ong-lon-ngan-hang-cho-cang-hang-khong-quoc-te-long-thanh-vay-18-ty-usd-post297732.html