The Ministry of Finance has just sent a report to the Prime Minister on removing obstacles for 2 BT (build-transfer) investment projects in Ho Chi Minh City, including the Project to solve flooding caused by tides in the Ho Chi Minh City area taking into account climate change factors - phase 1 (abbreviated as the nearly 10,000 billion VND tide prevention project).
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| Construction progress The project has been completed more than 90%, but since November 2020 the investor has stopped construction until now. |
The most notable content proposed by the Ministry of Finance to the Government is to allow Ho Chi Minh City to adjust the Project Feasibility Study Report, including adjusting the total investment, and the City is fully responsible for this decision.
The Ministry of Finance also proposed a payment plan for investors using land funds, according to the principle of parity, as stipulated in Clause 2, Article 44 of the Law on Management and Use of Public Assets.
In case the land fund value is lower than the BT project value, the difference will be paid from Ho Chi Minh City's public investment capital.
The city is responsible for determining the specific land price expected to be paid to investors, ensuring compliance with land laws.
Regarding the project progress, recently, the Ho Chi Minh City Department of Finance reported to the City People's Committee the results of negotiations on the BT contract appendix with the investor.
Although some contents have been agreed upon, key terms such as total investment and interest rates are still not eligible for implementation. These contents will be implemented after the Ho Chi Minh City People's Committee officially approves the adjustment of the Project Feasibility Study Report.
According to the report of Trung Nam Group (project investor), as of June 18, 2025, the total adjusted investment is expected to be 15,400 billion VND, of which the interest expense as of June 6, 2025 is 2,907 billion VND (average of 1.71 billion VND per day).
Currently, the project has completed more than 90% of the volume, the remaining part is estimated to need an additional 1,800 billion VND to complete.
However, the investor could not continue the implementation due to lack of capital. Meanwhile, BIDV Bank (the lending unit) could not disburse because there was no basis to sign an appendix to the credit contract with the investor and submit to the State Bank to extend the refinancing period.
The project to solve tidal flooding in Ho Chi Minh City, phase I (total investment of nearly 10,000 billion VND), started in mid-2016 and is expected to be completed in 2018.
However, after many extensions, the project has not yet determined its final completion date. According to the investor's report, due to the extension of the implementation period, the project incurred interest expenses and other costs, leading to the total investment of the project increasing from VND 9,976 billion to VND 15,400 billion.
The total Project investment may continue to increase if work continues to be delayed.
Source: https://baodautu.vn/de-xuat-phuong-an-thao-go-du-an-ngan-trieu-10000-ty-dong-tai-tphcm-d313294.html
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