Selecting High-Speed Rail Investors: Transparency, Not Secrecy

70-Person Corporation Seeks Investment Opportunities

On November 27th, at the Government Office, Deputy Prime Minister Nguyễn Hòa Bình chaired a meeting with leaders from various ministries, sectors, and businesses regarding the high-speed railway project along the North-South axis.

Deputy Prime Minister Nguyễn Hòa Bình stated that the high-speed railway project has three investment methods: public investment, public-private partnership (PPP), and private investment. According to Mr. Bình, the goal is to select the most optimal and beneficial investment model for the country.

The Deputy Prime Minister emphasized the need for a fair, objective, transparent, and open evaluation process, with no hidden agendas, and encouraged frank and open discussions. He also commended and appreciated the goodwill of businesses eager to contribute to the nation’s development in the new era.

“Some businesses at this meeting have worked with great dedication, presenting meticulously prepared reports, while others have submitted more cursory reports with unclear ideas. There are companies with only 70 employees and a capital of 2,000-3,000 billion VND, which cannot meet the project’s requirements,” said Deputy Prime Minister Nguyễn Hòa Bình.

Mr. Nguyễn Nam Thiều, Chairman of the Board of Directors of Discovery Group Joint Stock Company, expressed his willingness to invest in the project through a revenue-based financing model. When asked about the company’s size, investment capital, and project execution capabilities, Mr. Thiều stated that the Group currently has approximately 70 employees and a total capital of 2,000-3,000 billion VND.

Mr. Nguyễn Hoàng Tuệ, CEO of Truong Hai Group Joint Stock Company, expressed interest in participating in the project as an investor under the Investment Law. Regarding financing, the investor will contribute 20% of the investment capital, with the remaining 80% raised through loans. In addition to its own capital, Truong Hai Group will establish companies to mobilize investment funds from domestic and international enterprises and groups to implement the project.

Mr. Nguyễn Hoàng Tuệ assured strong commitments to personnel, project timelines, quality, and disbursement schedules. He also guaranteed the timely handover of project components to the government and adherence to quality and technology standards.

Urgent Proposal for Investment Method

Representatives from Vinspeed High-Speed Railway Investment and Development Joint Stock Company expressed their desire to invest in the project as a business investor, with a total investment of over 61 billion USD (excluding land clearance costs) and a five-year construction period.

Vinspeed requested to borrow 80% of the project’s investment capital, repayable within 30 years, and pledged to comply with legal regulations, particularly those related to borrowing procedures. They also committed to investing in modern technology and equipment, enhancing cooperation with partners to increase the localization rate in the railway industry.

Based on the available documents and information provided by the businesses, the Deputy Prime Minister instructed the Ministry of Construction to collaborate with the Ministry of Finance, the State Bank of Vietnam, and relevant agencies to promptly finalize the report proposing the investment method and accompanying policies. This report will be submitted to the Government for review and opinion. According to the Deputy Prime Minister, this will serve as a crucial foundation for the Government’s discussions and assessments before reporting to the competent authorities for a decision.