Central Vietnam province permits FLC Group to make airport urban area planning

Leaders of Binh Dinh province in south-central Vietnam has given in-principle approval to a proposal from real estate developer FLC Group JSC to make planning for an airport urban area in the locality.

According to the approval, signed by Vice Chairman of the Binh Dinh People's Committee Nguyen Tu Cong Hoang, the research and planning for the area, located in Phu Cat commune, Phu Cat district, will be conducted over two months.

During this process, FLC is responsible for closely coordinating with the Department of Construction, relevant agencies, local authorities, and other stakeholders to ensure compliance with state regulations and address issues related to national defense-security, the environment, and social welfare.

The Government Office recently announced the conclusion of Prime Minister Pham Minh Chinh following a working session with provincial Party leaders on the expansion and upgrade of Phu Cat Airport.

Regarding the construction of a second runway at Phu Cat Airport, the Prime Minister has instructed the provincial people's committee to review investment costs to ensure efficient spending, expedite the completion of investment procedures, and aim for a groundbreaking in August 2025.

He has also tasked the Ministry of Finance to collaborate with the provincial people's committee to propose a funding plan under which 50% of the total funding will be located from the central state budget, via a report to the Prime Minister by April 2025.

The people's committee will work with the Ministry of Construction to upgrade Phu Cat to an international airport once necessary conditions are met.

Earlier, in February 2025, the Binh Dinh people's committee granted in-principle approval for the construction of the second runway and related infrastructure at Phu Cat Airport, with a total investment of VND3.25 trillion ($125.63 million).

Of this amount, VND1.56 trillion will be allocated for construction, while more than VND1 trillion will cover compensation and resettlement support.

The second runway and associated infrastructure are designed to accommodate Code-C aircraft, such as the A320, A321, and similar models. After completion, the project must meet current Vietnamese airport design and operation standards, as well as International Civil Aviation Organization (ICAO) standards.

In mid-January 2025, the people's committee asked the Ministry of National Defence and the Air Force-Air Defense Command to consider transferring approximately 109.44 hectares of national defense land for the construction of the second runway, taxiways, and auxiliary facilities.

Under the master plan approved by the transport ministry (now the construction ministry), Phu Cat Airport, located in Cat Tan commune, Phu Cat district, is expected to handle 5 million passengers annually by 2030 and 7 million passengers annually by 2050.

Vietnam’s Deputy Prime Minister Nguyen Chi Dung on March 28 this year expressed his support for an early study of a free trade zone in Phu My Port area, Binh Dinh.

Vietnam currently does not have any free trade zone and is still considering the establishment of such zones in Hai Phong, Danang, and Ba Ria-Vung Tau, Dung told a local investment promotion conference.

On the same day, Binh Dinh province handed over MoUs on investment cooperation, in-principle approvals and investment registration certificates to 62 projects worth over VND231 trillion ($9.03 billion).

The Hanoi People’s Court on August 5, 2024 sentenced former FLC Group chairman Trinh Van Quyet to 18 years behind bars for fraudulent appropriation of property and an extra three years for manipulating the stock market.

Many provinces in Vietnam terminated FLC Group's investment projects over delays after the arrest of its former chairman Quyet in March 2022.