The Project constructs a 57.1 km expressway between Ben Luc and Long Thanh in the south of Ho Chi Minh City (HCMC), which is a short link of the Greater Mekong Subregion (GMS) Southern Economic Corridor. The project expressway is divided into a western section (21.14 km), a middle section (10.71 km), and an eastern section (25.25 km). For the expressway construction, ADB finances the western and eastern sections, and Japan International Cooperation Agency (JICA) finances the middle section. The project was estimated to cost $1.608 billion at appraisal, inclusive of local taxes, contingencies, and financing charges during development. Tranche 2 in the amount of $286 million will cover construction of the eastern section of the expressway.
| Project Number | 41414-063 |
| Country | Viet Nam |
| Project Status | Approved |
| Project Type / Modality of Assistance | Loan |
| Strategic Agendas | Inclusive economic growth Regional integration |
| Drivers of Change | Governance and capacity development Partnerships |
| Sector / Subsector |
Transport |
| Gender Equity and Mainstreaming | No gender elements |
| Project Rationale and Linkage to Country/Regional Strategy | In the south of Ho Chi Minh City (HCMC), the east-west traffic is restricted due to the lack of river crossing facilities, forcing vehicles into the center of HCMC. A substantial shift has occurred from motorcycles to passenger cars in the project area, further exacerbating traffic congestion. Construction of HCMC ring roads to establish connectivity with neighboring cities through expressway links is a high priority of the government. In this regard, the project will facilitate east-west traffic south of HCMC, thereby diverting through-traffic and reducing traffic congestion in the center of HCMC. Through construction of the project expressway, the connectivity of cities and towns around HCMC will also be improved, and transport costs and travel times for the movement of passengers and goods in and around HCMC will be reduced. Moreover, the project expressway is identified as part of national north-sough expressway that links into the Mekong Delta, which is the rive basket of Asia. It will be used as a freight route to transport food produced from the Mekong Delta to the rest of the country and overseas via land and maritime transport. |
| Impact | increased competitiveness of regional economy along GMS Southern Economic Corridor in the Southern Viet Nam and the GMS countries. |