The People’s Committee of Ho Chi Minh City has approved a proposal from Vietnam’s largest private corporation Vingroup to study a metro line project that will connect the city downtown to its outlying Can Gio district in the form of public-private partnership (PPP).

The group has 12 months to complete and submit the study result to the relevant authorities. 

Authorities from the southern city emphasized that allowing Vingroup to conduct this study does not automatically designate it as the investor of the project. After feasibility study and investment policy for the project are approved, the city will organize bids to choose investors for the project in line with regulations.

As proposed by Vingroup, the projected metro line will span 48.5km, running from District 7 to the Can Gio sea encroachment tourism – urban area in Can Gio District.

The line will be a double-track railway with a standard gauge of 1,435 mm and a maximum design speed of 250 km per hour.

Total investment capital is estimated at over VND102.3 trillion ($4.09 billion).