The project is expected to be completed by 2030, laying the foundation for the railway industry and creating new development momentum for localities, contributing to Vietnam's economic breakthrough in the era of growth
VinSpeed's investment proposal for the North-South high-speed railway project is a specific action in response to Resolution No. 57-NQ/TW on promoting science, technology, innovation and national digital transformation; and Resolution No. 68-NQ/TW on private economic development of the Party and State.
In the spirit of serving the country, as well as the desire to build a high-speed railway industry, put the main route into early operation, contributing to promoting economic growth, improving people's lives - VinSpeed determined that this will be a long-term project for many decades.
The project has an investment capital of about VND 1,562 trillion (equivalent to about USD 61.35 billion), excluding compensation costs, relocation and resettlement support for site clearance.
In which, VinSpeed is responsible for arranging 20% of the total investment capital of the project, equivalent to 312.33 trillion VND (about 12.27 billion USD). For the remaining 80% (excluding compensation costs, relocation and resettlement support for site clearance), VinSpeed proposed to borrow from the State without interest for within 35 years from the date of disbursement.
Thus, compared to the plan approved in Resolution No. 172/2024/QH15, VinSpeed's proposal will significantly reduce the pressure on the State budget, especially in the context that most high-speed railway projects in the world are slow or unable to recover capital and compensate for prolonged losses.
VinSpeed hopes to make every effort to be able to start the project before December 2025, speed up the construction progress, and put the entire route into operation before December 2030.
Currently, VinSpeed is negotiating with partners from countries with the world's leading railway industry such as China, Germany, and Japan to receive technology transfer and produce locomotives, carriages, and signal and control systems in Vietnam.
The company will also quickly organize training for personnel and master technology to create initiative in developing the railway industry for the country.
To ensure a part of the revenue is returned to the State, VinSpeed will cooperate with Vingroup and Vinhomes to propose the development of modern urban areas with full amenities at locations adjacent to railway stations according to the TOD (Transit Oriented Development) model.
Currently, most of the areas adjacent to the railway station are far from the center of provinces and cities, not creating clear value, but when invested in by the Vingroup ecosystem, it will certainly develop strongly, contributing to changing the appearance of infrastructure, raising living standards, promoting tourism and creating momentum for economic development for localities.
Ms. Dao Thuy Van - Deputy General Director of Vinspeed High Railway Investment and Development Joint Stock Company shared: “This is a historical time for Vietnamese private enterprises because we deeply feel the determination, support and expectations of the Party, the State and the people for the private enterprise block. Create and action to develop the project. We believe that with the flexibility and experience of the market, we will create revenue, compensate for investment costs, contributing to the loan repayment. Practical Party, State, business and people ”.
VinSpeed High-speed Railway Investment and Development Joint Stock Company has a charter capital of VND 6,000 billion. VinSpeed will be the next spearhead in the ecosystem founded by billionaire Pham Nhat Vuong, contributing with the current pillars to bring Vietnam to international stature and prosperous development in the era of national growth.
