The People's Committee of Ho Chi Minh City and the Ministry of Foreign Affairs & Development of the United Kingdom of Great Britain and Northern Ireland officially signed a Memorandum of Understanding (MOU) on September 23 to promote Transit-Oriented Development (TOD) in the southern city.

The MOU marks a significant step in realizing Resolution 188/2025/QH15 of the National Assembly on piloting special mechanisms and policies for the development of urban railway networks in HCM City and Hanoi, focusing on five key areas of cooperation:

First, sustainable urban development oriented towards public transport (TOD). Both sides are committed to strengthening cooperation in urban development, with a particular focus on the TOD urban model. Cooperative activities include sharing experiences in planning, developing TOD policies, researching financial mechanisms, development strategies, and TOD operating models. Simultaneously, enhancing the capacity of HCM City's urban management is a key priority.

Second, building modern, sustainable infrastructure. Both sides aim to enhance experience exchange and technical support in infrastructure construction, planning, and development. This includes: infrastructure management and exploitation, application of new technologies, investment promotion, and improving the operational management capacity of the city's technical infrastructure projects.

Third, developing a smart urban transport system. Both sides will coordinate to promote the modernization of HCM City's urban transport, including the urban railway sector.

Fourth, strengthening exchanges and cooperation between functional agencies.

Fifth, technical and policy support from the United Kingdom.

The TOD model is considered an advanced solution for creating vibrant, multi-functional urban areas around metro lines and transit hubs. TOD helps optimize land use, reduce congestion, and simultaneously boost the economy and improve quality of urban life.