HCM City eyes US$54 billion for development projects

During the investment promotion conference, Ho Chi Minh City called for VND 1.2 trillion (USD 54 billion) in capital to fund 210 projects across the city in the hope of spurring local economic growth.

These projects cover a range of fields, including infrastructure, transportation, agriculture, trade and service, education, healthcare, culture, sports, and tourism.

Nguyen Thien Nhan, Secretary of the Ho Chi Minh City Party Committee, stated that in order to create favorable conditions for investors, the city has been speeding up the establishment of infrastructure for boosting its digital economy, aiming to develop it the best among nationwide localities in terms of telecoms infrastructure.

The municipal authorities have carried out a number of drastic measures aimed at improving traffic connectivity by quickening the pace of transportation projects, including metro lines, sky train line projects, and expressway sections.

The city now mulls over a new mechanism for land lease, which would enable local residents to collaborate with investors and local authorities to accumulate land areas within service development zones, Nhan unveiled. Notably, the city is scheduled to develop a high-tech zone that covers roughly 600 hectares within 2019.

The southern city is projected to reap an annual Gross Regional Domestic Product (GRDP) growth rate of 8 – 8.5% between 2016 and 2020. Accordingly, the city could potentially mobilize an estimated USD 78 billion in total social investment. Of the figure, some USD 40 billion are needed for the development of basic infrastructure.