HCM City seeks to mobilise capital from private sector

With public funding only able to meet a fifth of the VND1.8 quadrillion (US$80 billion) required for development works in HCM City’s in 2016 – 20, authorities are striving to involve the private sector. — Photo chinhphu.vn With public funding only able to meet a fifth of the VND1.8 quadrillion (US$80 billion) required for development works in HCM City’s in 2016 – 20, authorities are striving to involve the private sector. According to Su Ngoc Anh, director of the city Department of Planning and Investment, many new measures and policies have been put in place to mobilise private resources, but challenges remain. He explained that investors must bring in 15-20 per cent of the funding required for a project, with loans from banks and other credit organisations making up the rest. Nguyen Hoang Minh, deputy director of the State Bank of Viet Nam, HCM City branch, said bank funding for socio-economic projects, especially in infrastructure, is linked to their effectiveness. Therefore, investors and relevant authorities must ensure the effectiveness of projects when they are completed, he said. Pham Manh Thang, deputy director general of Vietcombank, said the bank has provided loans of over VND100 trillion for 61 projects, including 23 in the education sector, 16 for transport infrastructure (roads, bridges), nine for urban development, and seven for hospitals. In the context of inadequate public funding, making use of public-private-partnerships (PPP) is vital, he said, but admitted the PPP form faces legal…... [read more]

An overview of the working session (Source: plo.vn) Can Tho (VNA) – National Assembly Vice Chairman Phung Quoc Hien has stressed the need for the Mekong Delta city of Can Tho to be a pioneer in boosting regional connectivity. Connectivity should focus on not only the economy but also culture and transport, Hien told municipal leaders at a working session in the locality on August 31. As the centre of the Mekong Delta region, Can Tho needs to develop high technology, attract more investment in agriculture and industry, and actively respond to climate change, he added. According to Vice Chairman of the municipal People’s Committee Dao Anh Dung, in the first eight months of 2017, the city’s industrial production value increased by 6.87 percent year-on-year, while the rate of poor households fell 1 percent. At present, 26 out of 36 communes meet new-style rural area requirements. He proposed the NA, Government and ministries prioritise State funds to implement inter-regional public private partnership (PPP) projects, and soon carry out a master plan the preventing landslides on river banks in the Mekong Delta region. In 2017, the city targets economic growth of 7.8 percent and per capita income of 72.6 million VND. Its export turnover is expected to hit 1.67 billion USD, a year-on-year increase of 7.5 percent. Total investment in Can Tho is hoped to reach 55 trillion VND (2.42 billion USD) in the year, up 22.6 percent compared to 2016,…... [read more]

With public funding only able to meet a fifth of the VNĐ1.8 quadrillion (US$80 billion) required for development works in HCM City’s in 2016 – 20, authorities are striving to involve the private sector. HCM City needs to mobilise more investments for infrastructure development projects. - VNS File Photo. According to Sử Ngọc Anh, director of the city Department of Planning and Investment, many new measures and policies have been put in place to mobilise private resources, but challenges remain. He explained that investors must bring in 15-20 per cent of the funding required for a project, with loans from banks and other credit organisations making up the rest. Nguyễn Hoàng Minh, deputy director of the State Bank of Việt Nam, HCM City branch, said bank funding for socio-economic projects, especially in infrastructure, is linked to their effectiveness. Therefore, investors and relevant authorities must ensure the effectiveness of projects when they are completed, he said. Phạm Mạnh Thắng, deputy director general of Vietcombank, said the bank has provided loans of over VNĐ100 trillion for 61 projects, including 23 in the education sector, 16 for transport infrastructure (roads, bridges), nine for urban development, and seven for hospitals. In the context of inadequate public funding, making use of public-private-partnerships (PPP) is vital, he said, but admitted the PPP form faces legal hurdles. Thắng said another problem is that most local banks are small,…... [read more]

The figure was revealed at a meeting on August 31 between the municipal People’s Committee, departments, sectors and districts to review the achievements since the beginning of this year and outline tasks for the remaining months. Statistics showed that over 223,900 enterprises are operating in the capital city. In the reviewed period, some 93,000 business registration applications were submitted online.  The municipal administration has provided free consultancy for nearly 50,000 firms and individuals, both in and outside the country, who are doing business in the city. Hanoi’s economy continued witnessing growth trend in key sectors, including industry, trade and services, tourism and transportation.  The city welcomed 114 non-budget investment projects, worth VND71 trillion (US$3.12 billion); 22 Public-Private Partnership (PPP) projects with a total investment of VND60 trillion (US$2.64 billion); and US$1.74 billion in foreign direct investment (FDI) projects. So far, Hanoi has had 128 PPP projects with a combined investment of VND333 trillion (US$14.65 billion), of which eight projects have been completed and 120 others are underway or preparing procedures. Speaking at the meeting, Chairman of the municipal People’s Committee Nguyen Duc Chung emphasised that attracting investment is a very important task of the city though many challenges remained.  Hanoi has taken a wide range of measures to create favourable conditions for investors by stepping up the application of information technology and holding dialogues with businesses to remove their difficulties, he added.... [read more]

The APEC economies should innovate technologies in agricultural production in order to ensure food and nutrition security, the Deputy PM said at the High-Level Policy Dialogue on Enhancing Food Security and Sustainable Agriculture in Response to Climate Change in the Mekong Delta city of Can Tho on August 25. Differences in production ability, human resources and high-tech remain barriers to regional development, requiring the APEC members to step up their cooperation and seek the best measures to reach sustainable and green agriculture, he said. Deputy PM Dung highlighted the need to intensify scientific and technological research and transfer in agriculture, forestry and fishery sectors to increase productivity as well as product quality, while promoting technological applications in agricultural management. At the event  The APEC members should enhance cooperation in researching food and nutrition security, and reducing food losses, he stressed. The Deputy PM proposed facilitating the development of an equal consumption market on the basis of multi-lateral trade principles and agreements, considering trade activities as an important factor to promote sustainable agriculture towards food and nutrition security. Along with exchanging information about sustainable management of natural resources, including cross-border water resources, it is necessary for the economies to boost rural-urban development with stronger connection to remote areas. The role of the community and the business circle should be brought into full play through the public-private partnership (PPP) model in investment in infrastructure, transport, telecommunications and internet, particularly in disadvantaged…... [read more]

Prime Minister Nguyen Xuan Phuc takes photo with Thai business people (Source: VNA) Bangkok (VNA) – Prime Minister Nguyen Xuan Phuc attended a forum to forge Vietnam-Thailand economic cooperation in Bangkok on August 18. The event drew over 500 businesses from the two countries. Addressing the function, PM Phuc said the bilateral economic ties have seen progresses since Vietnam and Thailand established strategic partnership four years ago. He cited that two-way trade reached over 12.5 billion USD. Thailand now has 470 foreign direct investment (FDI) projects worth over 8 billion USD in Vietnam. A number of Thai groups have been present in the country. Vietnamese tourists to Vietnam hit 830,000 while nearly 270,000 Thais visited Vietnam, he added. According to the PM, Vietnam has stable macro economy and records a growth of 6 percent over the past 30 years. It is home to about 23,000 FDI projects with a total investment of over 325 billion USD.   [PM Nguyen Xuan Phuc holds talks with Thai counterpart] The country is proactively integrating into the world and is an active and responsible member of the ASEAN Community.  It signed 12 free trade agreements (FTAs) and is negotiating another four deals to link its economy with 55 nations, including those from G7 and G20, he said. He noted that Vietnam is stepping up the merger and acquisition (M&A) activities in combination with equitisation of State enterprises in the fields of transport, infrastructure, food,…... [read more]

VietNamNet Bridge – Bui Danh Lien, Chairman of the Ha Noi Transport Association, tells Hai Quan (Customs) that careless approval has created serious problems with BOT projects Bui Danh Lien, Chairman of the Ha Noi Transport Association. The Viet Nam State Audit Agency has recently released a report on some serious errors seen in Build-Operate and Transfer projects in the transport sector. Can you comment on it? As a member of a survey team of BOT projects and a researcher in this field, I would say that all the weak points listed in the report are correct and precise. The report highlights some grave errors that most BOT traffic projects have committed, such as the arbitrary appointment of investors without a bidding process; wrong calculation of investment needed; inaccurate prediction of the traffic flows and others. However, in my opinion, the most serious problem is the carelessness of responsible people in approving the projects. For example, the initial projected cost for a BOT project is suggested by the investor, instead of the project owner. Then follows the project approval. I should say a key reason leading to the prolonged period of toll collection is due to the project owner’s weakness in assessing the project tender’s capacity. Then there is the improper estimation of traffic density. Very often, this is based on just three days’ counting, instead of three years, which is the international norm. In many cases, investors were not financially strong, and depended mainly on loans from banks. The…... [read more]

Nearly 3,000 high-voltage bulbs – five percent of the city’s total public lighting system – will be replaced by the LED public lighting system, beginning this September, and go operational in October. The city has called for funding via the Public-Private-Partnership (PPP) model to install LED lighting system. With the LED lighting system, Da Nang expects to save 1 million KWh per year – 12 percent of its power consumption, by 2020. Da Nang was selected as an APEC city for a Low-Carbon Model Town Project at the 44th APEC energy meeting in Washington DC in 2012. The city has also proposed battery-powered bikes, use of renewable energy; a metro system; and rapid bus transit as low carbon measures towards making Da Nang a green city by 2025. It has already cut 12,000 tonnes of carbon emissions through a pilot project and saved 12 billion VND (570,000 USD) in a power-saving pilot project between 2008-2011. According to a report from the city’s industry and trade department, Da Nang has 51,000 high voltage bulbs along 1,200km of roads with total consumption of 6,800KWh –3.1 percent of the city’s total power consumption. The city is also using battery-powered cars to serve tourists in the coastal districts of Son Tra, Ngu Hanh Son, Lien Chieu as well as at several beach resorts. Vietnamplus... [read more]

VietNamNet Bridge – A pilot project using low carbon emission light-emitting diode (LED) bulbs will light up 19 main downtown streets in Da Nang as the central coastal city prepares for the high-profile 2017 Asia-Pacific Economic Co-operation (APEC) Summit. Da Nang at night. The city plans to install a LED lighting system on many streets. — Photo: Tran Le Lam/VNS Nearly 3,000 high-voltage bulbs – five per cent of the city’s total public lighting system – will be replaced by the LED public lighting system, beginning this September, and go operational in October. The city has called for funding via the Public-Private-Partnership (PPP) model to install LED lighting system. With the LED lighting system, Da Nang expects to save 1 million KWh per year – 12 per cent of its power consumption, by 2020. Da Nang was selected as an APEC city for a Low-Carbon Model Town Project at the 44th APEC energy meeting in Washington DC back in 2012. The city has also proposed battery-powered bikes, use of renewable energy; a metro system; and rapid bus transit as low carbon measures towards making Da Nang a green city by 2025. It has already cut 12,000 tonnes of carbon emissions through a pilot project and saved VND12 billion (US$570,000) in a power-saving pilot project between 2008-2011. According to a report from the city’s industry and trade department, Da Nang has 51,000 high voltage bulbs along 1,200km of roads with total consumption of 6,800KWh –3.1 per cent of the city’s total…... [read more]

Nearly 3,000 high-voltage bulbs – five percent of the city’s total public lighting system – will be replaced by the LED public lighting system, beginning this September, and go operational in October. The city has called for funding via the Public-Private-Partnership (PPP) model to install LED lighting system. With the LED lighting system, Da Nang expects to save 1 million KWh per year – 12% of its power consumption, by 2020. Da Nang was selected as an APEC city for a Low-Carbon Model Town Project at the 44th APEC energy meeting in Washington DC in 2012. The city has also proposed battery-powered bikes, use of renewable energy; a metro system; and rapid bus transit as low carbon measures towards making Da Nang a green city by 2025. It has already cut 12,000 tonnes of carbon emissions through a pilot project and saved VND12 billion (US$570,000) in a power-saving pilot project between 2008-2011. According to a report from the city’s industry and trade department, Da Nang has 51,000 high voltage bulbs along 1,200km of roads with total consumption of 6,800KWh –3.1% of the city’s total power consumption. The city is also using battery-powered cars to serve tourists in the coastal districts of Son Tra, Ngu Hanh Son, Lien Chieu as well as at several beach resorts.... [read more]




Links Topics : http://news.c10mt.com/2017/09/hcm-city-seeks-to-mobilise-capital-from.html