Private sector encouraged to invest in highway construction

The Vietnamese Prime Minister has approved a development plan to build and upgrade the 5.800km highway network, said Ngo Thinh Duc, Deputy Ministry of Transportation, at a conference on Vietnamese road in Tokyo on May 19.

With a total investment capital of nearly US$48 billion, the Vietnamese Government will issue policies to attract investors by introducing Public Private Partnerships (PPP).

Deputy Minister Duc confirmed that Vietnam will facilitate Japanese investors who are involved in highway construction. The country is busy preparing a legal framework related to PPP.

On answering the Japanese investors’ concern about the risks associated with PPP, particularly in the ground clearance process, Deputy Minister Duc said that the Government has made a number of adjustments to the process. Recently, it has issued several new policies to make it easier to access the real estate market. The Government will share the risks with the investors.

Also at the conference, representatives from the Ministry of Transportation introduced 16 PPP projects with preferential conditions, including Hanoi’s ring road No.3, Ho Chi Minh City’s ring road No.3 and the Hanoi-Hai Phong highway.

VOVNews

Tags: Vietnam highway construction