WB will lend Vietnam 5 - 7 billion USD to build railways and highways

The World Bank (WB) said it will consider lending Vietnam 5-7 billion USD to invest in major transport infrastructure projects.

Today, October 16, Minister of Transport Nguyen Van Thang received Ms. Carolyn Turk, WB Country Director in Vietnam, to discuss ongoing transport projects and future plans.

Minister of Transport works with WB Director in Vietnam

MINISTRY OF TRANSPORT

Previously, at the meeting on September 7 between Prime Minister Pham Minh Chinh and WB President Ajay Banga, the Prime Minister proposed that the WB lend Vietnam 5-7 billion USD in the next 3 years to invest in transport infrastructure projects, especially for railways, expressways, national highways and large urban transport infrastructure.

According to Ms. Carolyn Turk, the WB hopes that the Ministry of Transport will propose specific investment for which projects and how the plan can be implemented, so that it can be implemented within the time frame stated by the Prime Minister.

Minister Nguyen Van Thang said that with the project to develop waterway and logistics corridors in the southern region, due to the route passing through forest land, there are procedural problems, leading to delays.

The Ministry of Transport has directed the adjustment of the route and at the same time drastically implemented solutions to remove obstacles and speed up progress. It is expected that in October, the feasibility study report will be approved so that the loan agreement can be signed in December.

He also suggested that the WB study the allocation of loans for some important projects. Specifically, in the railway sector, there is the Bien Hoa - Vung Tau railway project, 140 km long, double/single track, 1,435 mm gauge, with a total investment of about 3.2 billion USD for the single track phase.

Currently, domestic consultants have completed the mid-term report; the pre-feasibility study (Pre-FS) report will be completed in the first 6 months of 2024 and then the WB can access the study documents.

In the road sector, there are two expressway projects: Pleiku - Quy Nhon and Cam Lo - Lao Bao. The Pleiku - Quy Nhon route is 151 km long, with 4 lanes, with a total investment of about 35,800 billion VND for 4 lanes of 17 m, and about 44,000 billion VND for 4 complete lanes.

The Cam Lo - Lao Bao route is 70 km long, with 4 lanes, with a total investment of about 10,800 billion VND for 4 lanes of 17 m, and about 14,500 billion VND for 4 complete lanes. These two projects are being completed by domestic consultants for mid-term reports, and are expected to complete the pre-feasibility report by mid-2024.

Minister Thang also requested the WB to support technical assistance projects, focusing on the fields of high-speed railways, expressways and projects and initiatives related to greenhouse gas emission reduction in the transport sector and implementing Vietnam's commitments at the COP26 Conference.

Regarding railways, research and develop sets of standards related to urban railways and high-speed railways suitable for Vietnam's conditions; research and propose plans and solutions for transporting containers by rail at seaports and warehouses...

World Bank Country Director for Vietnam Carolyn Turk said that the World Bank is ready to study and support infrastructure projects. At the same time, it will seek other sources of support besides loans to support the Ministry of Transport in technical assistance projects to modernize, digitize, and improve the quality of human resources in managing and effectively operating infrastructure projects after investment.

Thanhnien.vn