HCMC – The National Assembly (NA) on February 17 approved a plan to increase the charter capital of the state-owned Vietnam Expressway Corporation (VEC) by over VND38.2 trillion for the 2024-2026 period, reported the local media.
The additional capital will be sourced from public investment allocated to the Ministry of Transport, with VND36.7 trillion coming from the state budget. This includes VND10 trillion in reciprocal state budget funds and VND24.1 trillion from official development assistance (ODA) loans converted into grants.
An additional VND2.5 trillion will be allocated to support the Noi Bai-Lao Cai and Cau Gie-Ninh Binh expressways.
Vietnamese law does not explicitly allow the conversion of state capital investments in public projects into equity for state-owned enterprises, nor does it provide for on-lent ODA loans to be converted into direct state grants. However, the NA Standing Committee backed the Government’s request, stating that it aligns with national infrastructure development policies.
The Finance and Budget Committee also endorsed the proposal, noting that the total capital package includes VND1.5 trillion from VEC’s development investment fund and nearly VND36.7 trillion from state budget investments in five expressway projects under VEC’s management.
NA Vice Chairman Nguyen Duc Hai said lawmakers supported the plan, which is expected to strengthen VEC’s financial capacity and accelerate the expansion of Vietnam’s expressway network. The Government aims to enhance the role of state-owned enterprises in infrastructure development.
