Over 390 million euro in additional funding for urban railway line approved by PM.
The Prime Minister has approved additional funds for Hanoi’s Nhon - Hanoi pilot urban railway line project, with 305 million euros coming from ODA and counterpart funding of 88 million euro. All of the additional ODA funds will be borrowed by the Hanoi People’s Committee and the counterpart funding will come from the city’s budget. The Ministries of Planning and Investment and Finance and the State Bank of Vietnam have been assigned to undertake negotiations over loan agreements with the project’s sponsors.
The PM also requested a review and appraisal of the total investment for the Nhon - Hanoi urban railway line in order to ensure its effectiveness and feasibility, and a report on the implementation plans of each package in the future, including the site clearance plan, with the aim of ensuring schedules are met.
The pilot Nhon - Hanoi urban railway line has a total length of 12.5 km stretching from Hanoi’s main railway station in Hoan Kiem district to Nhon in Tu Liem district, connecting the west and the south of the capital, including a 4 km underground section and another 8.5 km of elevated track. Previously, total investment for the project was 783 million euro, including 653 million euro from ODA and 130 million euro from counterpart funding.
The line is expected begin operations in 2015, with four carriages per train and running at a maximum speed of 80 km/h.