The National Assembly has officially approved the US$67.3 billion high-speed railway project. Garnering 92.48% of votes, this ambitious infrastructure initiative is set to cost $67.3 billion. This was reported by the railway transport news portal Railway Supply.

high-speed railway project
Photo, source: english.vov.vn

Stretching 1,541 kilometers, the railway will connect Ngoc Hoi Station in Hanoi to Thu Thiem Station in Ho Chi Minh City. The line passes through 20 provinces and features double tracks with a 1,435 mm gauge, enabling a design speed of 350 km/h.

Strategic Importance of the US$67.3 Billion High-Speed Railway Project

With 23 passenger stations and five freight stations planned, the project ensures optimized connectivity. Passenger station zones will span 200 to 500 hectares, while freight stations will cover around 24.5 hectares each.

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This dual-purpose system will primarily transport passengers but can also move goods when needed. Its design includes features to support national defense and security objectives, bolstering multi-functional capabilities.

Funding for the project will come from the state budget and other legal financial sources. The mid-term public investment plan will allocate resources, ensuring a smooth financial foundation.

The feasibility study report is slated for completion by 2025. Construction is expected to conclude by 2035, with all necessary approvals and policies in place to meet the schedule.

A summary report highlighted the project’s strategic importance. Delegates emphasized its role in socio-economic advancement and infrastructure modernization, aligning with Party guidelines.

Delegates urged careful consideration of risks and conditions to ensure feasibility. Recommendations included detailed analyses of Vietnam’s unique needs and transport demand forecasts.

The verifying agency confirmed that the project’s preparation spanned 18 years. Drawing on international high-speed rail experience, the pre-feasibility study outlined Vietnam’s readiness.

Funding Mechanisms for the US$67.3 Billion High-Speed Railway Project

Political bodies, including the Politburo and the Party Central Committee, extensively discussed investment policies. Their assessments addressed challenges and conditions for successful implementation.

Recognizing the preliminary nature of calculations, the Government must refine specifics during the feasibility phase. Thorough risk assessment and solution development are critical next steps.

Under the approved resolution, special mechanisms and policies will support the project’s progress. The Prime Minister holds authority to issue government bonds to supplement budget allocations.

To bridge funding gaps, the Prime Minister can also mobilize Official Development Assistance (ODA) and foreign loans. Additional revenue or savings within the state budget will further back the initiative.

These financial mechanisms ensure the project stays on track, aligning with national priorities. Successful execution will transform Vietnam’s transportation landscape and economic potential.

Photo, source: english.vov.vn

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