Ministry okays expressway proposal from Vingroup, Techcombank

Vietnam’s largest listed conglomerate Vingroup and leading private lender Techcombank have received the Ministry of Transport's green light to make a pre-feasibility study for their proposed 212-kilometer expressway connecting the Central Highlands to the southeastern region.

The expressway will run from Gia Nghia in Dak Nong province to Chon Thanh in Binh Phuoc province in the public-private partnership (PPP) form.

Expenses of making a pre-feasibility report will be part of the project’s cost, but if the study is not approved, the two majors will bear the costs, according to the ministry.

In their proposal, Vingroup and Techcombank said should approval fail, both commit to bear all costs associated with project investment preparation.

This is the first time the cash-rich partnership of Vingroup and Techcombank proposed to invest in an expressway project.

As planned, it will be 212 kilometers long when completed, with 110 kilometers cutting through Dak Nong and 102 kilometers through Binh Phuoc.

The project would help reduce the time to travel from Dak Nong to Ho Chi Minh City through Binh Phuoc. It is also expected to spur socio-economic growth, attract investment, and boost local and regional tourism.