To have enough capital to invest in traffic works and to prevent flooding in the next three years, Ho Chi Minh City has proposed borrowing $1.5 billion of soft loans from the World Bank (WB).
The city government has sent the list of projects proposed for WB funding in 2015-2018 to the Ministry of Planning and Investment.
The projects are listed in order of priority, including:
• The green transportation development project, with a projected cost of $155.85 million, of which $142.25 million is to be funded with loans.
• Sanitation project phase 2 (Nhieu Loc-Thi Nghe basin), with a total capital expenditure of $524 million, $450 million of which is to be from loans.
• The flood risk management project ($763 million).
• The Ben Nghe tidal management project ($12 million).
Also planned are the Phu Xuan tide control project with estimated investment of $29 million, the Saigon River dike project worth $68 million, and the Tan Hoa-Lo Gom drainage system upgrade project, with an estimated price tag of $125 million.
Related to the amount of capital for infrastructure and urban development, the HCM City government recently said that it needs up to $470 for the social-economic development plan from 2020 to 2025, including $140 for 2016-2020, while the budget can provide only 10 percent.