Foreign banks express interest in infrastructure projects in HCM City

A clean water plant in HCM City. (Source: VNA)

Ho Chi Minh City (VNA) – Banks from the Republic of Korea (RoK) and Japan have expressed their interest in providing capital for infrastructure projects in HCM City.

In a meeting with Le Van Khoa, Vice Chairman of the HCM City People’s Committee, on November 22, Hong Young Pyo, Vice Chairman of the RoK’s Export-Import Bank (KEXIM), said the lender is interested in infrastructure and transport projects in Vietnam and HCM City in particular.

KEXIM wants to fund the urban railway route No 4b-1 (to Tan Son Nhat International Airport) and phase two of the urban railway route No 5.

Hong also expressed his interest in investing or providing capital for other infrastructure projects in HCM City like the construction and transfer of technology operating the urban railway routes and the smart traffic operation centre.

Lauding KEXIM’s goodwill, Khoa said HCM City expects the bank to soon complete legal procedures to disburse capital to complete the feasibility study for phase two of the urban railway route No 5.

Besides, KEXIM should consider providing additional official development assistance from the RoK government’s Economic Development Cooperation Fund, he added.

He asked the bank to assist HCM City to seek additional incentive capital from multilateral credit organisations like the Asian Development Bank and the World Bank to implement phase two of the whole urban railway route No 5 after the Korea International Cooperation Agency Team completes its final report in December, 2016.

The same day, in the meeting with Senda Tetsuya, General Director of the HCM City branch office of the Bank of Tokyo-Mitsubishi UFJ, Khoa said HCM City has been calling for investment in infrastructure, transport, wastewater treatment and flood prevention.

Senda Tetsuya said he wants to provide capital provision for key projects in HCM City while meeting with representatives from the city’s departments and sectors to increase cooperation and funding in potential areas.-VNA