The two enterprises were also urged to finalize documents for submission to the Ministry of Finance and competent sectors for investment policy approval in accordance with the Law on Investment.
Earlier, the Politburo had issued Resolution No.68 on the private sector development, encouraging private firms to engage in the national strategic projects such as high-speed railway, urban railway, and spearhead industries.
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VinSpeed and Thaco have been urged to complete documents seeking approval for the proposals to invest in the North-South high-speed railway. (Photo: Bnews) |
VinSpeed has proposed a total investment of over 1.56 quadrillion VND (61.35 billion USD) for the high-speed rail project, excluding compensation and relocation costs for site clearance. Under their financing structure, VinSpeed will arrange 20% of the total project capital, equivalent to 312.33 trillion VND, while seeking an interest-free state loan for the remaining amount over a 35-year period from the date of disbursement.
It plans to break ground on the project before December 2025 and complete the entire rail line for commercial operation before December 2030. The firm is negotiating technology transfer agreements with partners from the countries with a leading railway industry including China, Germany, and Japan for the domestic manufacturing of locomotives, carriages, and signaling systems.
Thaco has made a similar proposal with a total investment of over 1.56 quadrillion VND for the project, with the site clearance work to be handled by the State and excluded from the total capital.
Under its financing model, Thaco will contribute 20% of the total investment while mobilizing the remaining 80% through domestic and foreign credit institutions with full government guarantee and interest subsidization over 30 years.
Thaco proposed implementing the project in two phases over seven years, applying electrified rail-on-track technology meeting international standards. The company plans to collaborate with domestic enterprises in receiving technology transfers from leading global partners in Europe, including Germany and France, and Asia, particularly Japan and the Republic of Korea.
Source: VNA