The First Metro Line of HCMC, in Crisis to be Abandoned
The First Metro Line of HCMC, in Crisis to be Abandoned
  • 승인 2018.11.29 17:39
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Hanoi, November 29 (Engineering Daily) -- The first metro line of Ho Chi Minh City is on the verge of being ceased in the middle of construction due to financial problem.

Japanese Ambassdor to Vietnam Umeda Kunio said the overdue bills for the Japanese contractor Sumitomo Corporation of the project has climbed up to USD100 million.

The HCMC Managment Authority for Urban Railways said the line has been complete more than half and worth VND2 trillion but only VND220 billion has been paid for procedural issues.

The key national project the metro system has been waiting for National Assembly's approval to pay for the overdue. It is because of the increased cost. The initial cost was VND17.4 trillion(740 million dollars) but after consultants' recalculation it has changed to VND47,3 trillion(2 billion dollars) and it has been necessary for the project of the NA's approval.  

Meanwhile, the corporation officially expressed in a letter to the Vietnam government, ministries and Ho Chi Minh City People's Committee that it will resign from the project unless it is paid by the end of this year.

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