(NLDO) - Ho Chi Minh City has decided to use more than VND48,000 billion in public investment capital to implement metro line 2, instead of ODA loans, to speed up progress.
The Standing Committee of the Ho Chi Minh City Party Committee has just concluded the plan to implement metro line 2 (Ben Thanh - Tham Luong), agreeing on the policy of transferring all capital from ODA loans to using state budget capital to continue implementing the project.
Metro Line 2 project is being accelerated, clearing the construction site by the end of this year. Photo: CHI NGUYEN
In addition, the project will be expanded in scale, including a synchronous connection between metro line 1 and metro line 2 at Ben Thanh central station to ensure system connectivity.
The City Party Committee assigned the City Party Committee and the City People's Committee leaders to direct the Ho Chi Minh City Urban Railway Management Board to preside over and coordinate with relevant departments and branches to implement the project according to specific mechanisms and policies, especially according to Resolution 188 of the National Assembly and related legal regulations.
Metro Line 2 project has a total investment of about VND47,890 billion, initially implemented with ODA loans. However, of the five signed loans, three loans from the Asian Development Bank (ADB) and the European Investment Bank (EIB) have expired, while two loans from the German Reconstruction Bank (KfW) need to be extended to continue implementation.
Up to now, out of the total of 7 main construction packages of the project, only package CP1 - construction of office building at Tham Luong depot - has been put into use since 2017.
Although approved for investment in 2010, the implementation of Metro Line 2 has encountered many difficulties. In the most recent adjustment, the project was expected to be completed in 2030 and under warranty until 2032.
In February 2025, the National Assembly issued Resolution 188 with special mechanisms to create conditions for Ho Chi Minh City and Hanoi to make a breakthrough in developing the metro system. On that basis, Ho Chi Minh City aims to invest simultaneously and complete 7 metro lines with a total length of 355 km within 10 years, from now until 2035.
Metro Line 2 was selected as the first pilot project to apply new mechanisms and policies according to Resolution 188. It is expected that Ho Chi Minh City will organize the selection of contractors in October 2025 and start construction in December 2025, aiming for completion by 2030.
With the plan to convert capital sources to public investment, Ho Chi Minh City hopes to be more proactive in project implementation, while speeding up the construction progress compared to the plan to use ODA capital, which is forecast to encounter many difficulties and obstacles during the implementation process.
TOD urban area along with metro 2
Metro Line 2 has a total length of 11 km, passing through 6 districts of Ho Chi Minh City including District 1, District 3, District 10, District 12, Tan Binh and Tan Phu. Currently, the implementation of this metro line is very favorable when the site clearance work is almost completed, reaching 99.83%. The relocation of technical infrastructure is expected to be completed in the third quarter of 2025.
Along with that, localities with metro line 2 passing through are planning urban development according to the TOD model around the stations.
In particular, Tan Phu District People's Committee has reviewed and selected land plot I/82A, Tay Thanh Ward for implementation. This area has an area of over 26 hectares, located in a convenient location when adjacent to two major roads, Tay Thanh and Truong Chinh.
Source: https://nld.com.vn/metro-so-2-tp-hcm-chinh-thuc-bo-von-oda-chon-ngan-sach-196250311172101039.htm
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