Vietnam Ministry Seeks to Pilot PPP for More Projects
The Vietnamese Ministry of Planning and Investment (MPI) is seeking approval from other ministries and agencies to pilot public-private partnership (PPP) model for two groups of projects.
The targeted groups are those to build hospitals and waste treatment plants, the MPI said in the latest draft on the PPP regulation.
Earlier, the MPI has proposed the prime minister to pilot the PPP form for seven project groups, including roads, tunnels and bridges; railways; urban transport systems; seaports, airport and river ports; clean water supply systems and power plants.
These infrastructure projects are required to have big scale, meet urgent demand for the national economic development.
Weak infrastructure is among Vietnam’s bottlenecks in attracting foreign investors, analysts said, emphasizing the necessity and efficiency of the PPP model as state budget and ODA can meet only 40% of the national infrastructure project’s total capital demand.
With $1 billion, Vietnam can build up to 300 km of expressway under the PPP model, instead of just 100 km using the public investment form, they noted. (Investment)
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