Metro network of over 1,000 km in Ho Chi Minh City: Big challenge in investment capital

After the merger, Ho Chi Minh City's metro network increased from 355 km to more than 1,000 km, posing a huge challenge in terms of investment capital.

On August 21, at a press conference on the socio -economic situation of Ho Chi Minh City, the Ho Chi Minh City Urban Railway Management Board (MAUR) said that according to the previous plan, Ho Chi Minh City (old) needed about 40.2 billion USD to invest in 7 urban railway (metro) lines with a total length of 355 km.

However, after expanding the administrative boundaries, the scale of the urban railway network of Ho Chi Minh City (new) increased to more than 1,000 km.

With such a long length, the ability to meet investment capital is very difficult. In addition, there are difficulties in developing human resources, developing the railway industry, compensation, support, and resettlement to serve site clearance.

Ho Chi Minh City currently has only one metro line No. 1 (Ben Thanh - Suoi Tien) nearly 20 km long - Photo: Le Toan

Regarding financial solutions, Resolution 188/2025/QH15 of the National Assembly and the Railway Law (issued on June 27, 2025) have opened up many diverse capital mobilization mechanisms.

In addition to the central and local budgets, Ho Chi Minh City can mobilize ODA capital, preferential loans, issue local government bonds, revenue from urban development according to the TOD model, as well as private capital through direct investment and PPP.

With many new policies allowing to shorten investment procedures, promote capital mobilization, develop railway industry, transfer technology and train human resources.

In particular, Resolution 68-NQ/TW dated May 4, 2025 of the Politburo on private economic development has created an important legal corridor, encouraging private enterprises to participate in investing in metro projects, reducing the burden on the State budget.

Source: https://baodautu.vn/mang-luoi-metro-hon-1000-km-tai-tphcm-thach-thuc-lon-ve-von-dau-tu-d366441.html