The Prime Minister has just approved the Plan to mobilize investment capital for urban railway projects for Hanoi and HCMC up to 2020 with total capital of nearly USD 15 billion (USD 14,849 million). Managerial agencies, investment owners were required by the Prime Minister to push strongly implementation of project investment, ensuring progress as specified.

By which there will be 13 urban railway lines to be invested from this capital amount. At present, urban railway lines of Hanoi ( not including the newly expanded territory of Hanoi) are formed with three main lines and two branch lines, having total length of about 128km. Investment capital amount for Hanoi’s urban railway lines consist of elevated railway, subway, national and urban railways is  USD 7,345 million, of which foreign capital (including funds having agreement, commitment and fund needs to be mobilized) occupies USD 5,542 and domestic capital occupies USD 1,803 million.  

Among the above projects, only the Nhổn-  Hà Nội Station urban railway line started its first work item in 2006 to complete timely by the 1000^th Anniversary of Thang Long Hanoi Founding. In HCMC, urban railway transport was planned as two systems: six subway lines ( total length is about 92km) and ground or monorail tramways. During past implementation, HCMC has suggested some adjustment contents relating to national railway section passing by the city and these issues have been assigned by the Prime Minister to coordinate with the Ministry of Transport for study. Besides, HCMC also requested to adjust detail of one  of six urban railway lines under the metro system  (to separate Line No.3 into Line 3a and Line 3b). Total needed capital for projects in HCMC up to 2020 is about USD 5,479 million, in which ODA loans occupies about 80% demand. 

 At the moment, there are four urban railway projects in HCMC under study, implementation with demand of USD 4,259 million, including: Bến Thành- Suối Tiên Line (USD 1,091 million); metro Line No. 2 (USD 1,250 million); Metro Line No. 3a (USD 880 million) and Metro Line No. 4 (USD 1,038 USD). To urban railway projects in HCMC, Mr.Le Hoang Quan, Chairman of HCMC People’s Committee has just issued a document requesting Chairmen of District No.1,2,9 and Binh Thanh, Thu Duc to quickly direct completion of resettlement. Completion and handover of entire resettlement work must be done before June 30, 2009, in which priority shall be given to Bến Thành- Suối Tiên Line project. The Long Bình depot alone, the District is required to hand over clear site before September 30, 2009. 

 According to the Ministry of Planning and Investment (MPI), urban transport projects always have very big investment level, long implementation time, socio-economic effectiveness is key ...so this has not attracted domestic and foreign investors to participate. Most of studied projects all use bilateral ODA loans or hope to combine between ODA and other less preferred sources like OCR of the ADB. Preferred loans from international financial institutions such as ADB, WB still is limited. MPI said that, for the time coming, it shall chair, coordinate with relevant agencies to mobilize ODA loans and other suitable sources of loan according to the plan for the above mentioned projects on the principle to ensure macro balance of investment and development resources.

  (According to the Transport Newspaper)