Credit contract signed for expansion of Highway 1A in Ninh Thuan

Credit contract signed for expansion of Highway 1A in Ninh Thuan

Representatives from VietinBank and CII at the signing ceremony for the two projects in Ho Chi Minh City on August 26 (photo: Van Nam)

Nhan Dan Online – Ho Chi Minh City Infrastructure Investment JSC (CII) and Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank) on August 26 signed a credit contract worth nearly VND1.7 trillion (US$79.9 million) for the expansion of a National Highway 1A section in Ninh Thuan province.

The upgraded section has a length of 37 kilometres and a width of 20.5 metres which requires a total investment of VND2.1 trillion (US$98.7 million).

According to the project’s investor CII, the expansion of the highway began in July this year. After signing for the loan, CII will hasten progress to complete the project by the end of 2015, to coincide with the completion of other sections of the highway.

CII expects toll collections will return its investment on this section in 22 years and two months.

On the same day, CII and VietinBank also signed a contract, under which CII will borrow VND960 billion (US$45.12 million) from VietinBank to build Tan Hiep 2 Water Plant.

Construction of the plant will commence in this September with a total investment of VND1.2 trillion (US$56.4 million).

The plant, which is expected to begin operation in the first quarter of 2016, will supply 300,000 cubic metres of water a day for residents in the west of Ho Chi Minh City.

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