More than $9 billion is required to develop a high-speed railway linking Ho Chi Minh City and the Mekong Delta city of Can Tho, according to a report sent by the Railway Management Board to the Ministry of Transport.

The double-track railway would be used for both passenger and goods trains, with a speed limit of 190 km/h for the former and 120 km/h for the latter.

The management board said the development of the high-speed railway is necessary to meet increasing transport demand and ensure sustainable traffic infrastructure development to promote the country’s competitiveness.

The project is also aimed at urban restructuring and population and labor distribution along the Ho Chi Minh City - Can Tho corridor.

The management board has worked with the six southern cities and provinces the railway will pass through, including Ho Chi Minh City, Long An, Tien Giang, Vinh Long, and Can Tho, to prepare a pre-feasibility study.

The project is to be conducted under the public-private partnership model.