During the regular press conference held on the afternoon of January 30th, Deputy Minister of Construction Nguyen Danh Huy addressed media inquiries regarding businesses withdrawing from the North-South Expressway project.
According to Deputy Minister Nguyen Danh Huy, the government aims to mobilize all societal resources for large-scale infrastructure projects, but it’s crucial to find a balance rather than shifting risks onto the private sector.
He noted that, based on PPP investment experience, if a project’s financial model is unviable, businesses cannot be compelled to participate. Globally, issues reliant on public services that businesses cannot undertake must be handled by the state.
Further clarifying the project’s financial model and risk management, the Deputy Minister stated that, per legal regulations and international practices, only a feasibility study report provides sufficient data to determine total investment, project efficiency, and suitable investment models. At the pre-feasibility stage, financial, technical, and technological parameters remain incompletely assessed.
Currently, the Ministry of Construction is selecting top global consultants in high-speed rail to research, propose technical solutions, route alignments, and appropriate technology options.
The North-South High-Speed Railway project has a preliminary total investment of approximately VND 1,700 trillion (USD 67 billion). Spanning 1,541 km, it connects Ngoc Hoi Station (Hanoi) to Thu Thiem Station (Ho Chi Minh City), passing through 20 provinces. This strategic infrastructure is expected to drive new economic growth.
Previously, on December 25th, Vingroup announced its decision to withdraw from the North-South High-Speed Railway project after careful consideration, redirecting resources to other key infrastructure initiatives. These include the 9,000-hectare Olympic Sports City in Hanoi, featuring the 135,000-seat Trong Dong Stadium.
Besides Vingroup, other companies like Thaco and Vietnam Railways expressed interest in the project. Hoa Phat recently began constructing a steel plant to supply rail products for this initiative.
DHA Stock Plummets Despite Q4 Profits Surging 2.5x
Hoa An Corporation (HOSE: DHA) has reported a nearly threefold increase in net profit for Q4 compared to the same period last year. However, this impressive growth appears to fall short of investor expectations.
Where Does Vietnam’s $9.5 Billion Airport Expansion Project Stand After Nearly a Month Under New Ownership?
The expansion project of Phu Quoc International Airport boasts a total investment of VND 22,000 billion.
Groundbreaking 700 Trillion VND Projects in Vietnam’s Largest Special Economic Zone: What Did the Prime Minister Just Mandate?
These two projects, located in Vietnam’s largest special economic zone, are poised to play a pivotal role in hosting the APEC 2027 summit.
Pioneering Urban Flood Control: Đèo Cả Partners with Japanese Conglomerate to Build TBM-Style Tunnels
Recently, Deo Ca Group held a meeting with Japan’s IHI Corporation, establishing a cooperative framework with two clear objectives: jointly bidding on PPP projects and forging a strategic partnership where IHI invests and contributes capital to Deo Ca.
Unveiling the Capabilities of the New Developer Behind the $67 Billion North-South High-Speed Rail Megaproject
The new investor behind the $67 billion high-speed rail megaproject is a subsidiary of the Ministry of Construction.
