Vietnam parliament approves $67bn high-speed railway project
Sunday, December 01, 2024, 08:33 GMT+7
Vietnam said Saturday that it will build a $67 billion high-speed railway from Hanoi to Ho Chi Minh City, in a much-needed boost to infrastucture that is expected to drive growth and enhance its reputation among foreign investors.
The railway, which will stretch more than 1,500 kilometres (930 miles) from the capital in the north to the country's business hub in the south, will reduce the current journey time by rail from 30 hours to around five.
"The national assembly voted to approve... a resolution on investment policies for the high-speed railway project on the North-South axis," said a statement on Vietnam parliament's website.
Deputy Minister of Planning and Investment Tran Quoc Phuong earlier called the new line 'a breakthrough' in the country's infrastructure that would boost the country's GDP by an average of 0.97 percentage points annually.
"It is the wish of the people and the determination of the political system to have an international-standard high-speed railway," he said prior to the approval.
The new rail line will stop at 23 stations in 20 different cities and provinces, boosting connectivity between the regions.
The project is scheduled to take just eight years -- beginning in 2027 and aiming for completion in 2035, although the country has a history of overruns when it comes to major infrastructure projects.
