HCMC – The National Assembly issued a resolution today, February 19, introducing special mechanisms for urban railway development in Hanoi and HCMC, with all 459 deputies present voting in favor.
The resolution authorizes the Prime Minister to allocate up to VND215.35 trillion for metro line development projects in Hanoi and VND209.5 trillion in HCMC between 2026 and 2035.
The funding will come from increased revenue, central budget savings, and other sources, bypassing the usual budget priority order, according to the Government news site.
Metro projects in both cities can secure official development assistance (ODA) and concessional foreign loans without requiring a separate project proposal. If Vietnamese regulations differ from or lack provisions for certain aspects of the projects, the donor’s regulations will take precedence.
The People’s Councils of Hanoi and HCMC will be responsible for allocating investment capital from local budgets, funds on-lent by the Government, municipal bonds, increased revenue, and other legal sources, with flexibility in prioritization.
The Government will oversee urban railway investments to ensure efficiency, transparency, and the prevention of waste and corruption. It must provide public updates to foster consensus, adjust project lists as necessary, and guide implementation under the resolution.
Relevant ministries and agencies will assign representatives to appraisal committees when invited to evaluate investor selection, EPC contractors, and foreign consultants. The State Audit Office of Vietnam will audit total investment estimates and submit findings within 30 days to support project approvals.
The People’s Committees of Hanoi and HCMC are responsible for transparent and efficient implementation, preventing financial mismanagement.
They will coordinate departments and agencies to streamline execution, encourage private sector investment in rolling stock, manage railway infrastructure maintenance, and support the long-term growth of Vietnam’s railway industry.
