Gov’t to issue construction bonds for major traffic projects

According to the Ministry of Transport, the Government will submit to the National Assembly a proposal to issue construction bonds worth VND60 trillion (US$2.88 billion) for two major traffic projects in 2013-2016 by next week.

Highway 1A will be upgraded and broadened after the NA issues construction bonds worth VND50 trillion (Photo: SGGP)

Of the total capital amount, VND50 trillion will be spent on broadening and upgrading Highway 1A from the north-central province of Ha Tinh to the Mekong Delta city of Can Tho.

The remaining VND10 trillion will be for upgrading of Highway 14 in the Central Highlands.

Earlier, the Government had approved a project put forward by the Ministry of Transport to broaden Highway 1A.

From 2013-2016, the ministry will broaden the 1,054km two-lane Highway 1A to include four lanes at a total cost of VND89.3 trillion (US$4.29 billion).

The ministry is expected to mobilize VND34.5 trillion from businesses via BOT (Build-Operate-Transfer) and PPP (Public Private Partnership) methods and will contribute VND51 trillion from the State budget.

In related news, the Ministry of Construction has approved a project in Hanoi to build an international container port in Gia Lam District.

The 30 hectare Phu Dong International Container Port will be built at an estimated cost of VND100 billion ($4.8 million) near Duong River in Co Bi and Dang Xa Communes in Gia Lam District.

After Phu Dong Port is complete, cargo from seafaring vessels will be transported directly to Phu Dong Port for delivery to provinces in the north.

At present, cargo is transported to Hai Phong Port before being distributed within the northern region.

By Bich Quyen – Translated by Hai Mien

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