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5 important transport projects at risk of having their capital revoked by ADB due to slow progress

Việt NamViệt Nam03/04/2025


The People's Committee of Quang Tri province has just issued an official dispatch directing the urgent progress and completion of the Basic Infrastructure Project for Comprehensive Development of Nghe An, Ha Tinh , Quang Binh and Quang Tri Provinces - Quang Tri Province Sub-Project (BIIG2) at risk of having its capital revoked by the Asian Development Bank (ADB) because many packages have not yet started construction.

According to the Official Letter dated March 17, 2025 from ADB in Vietnam to Acting Chairman of Quang Tri Provincial People's Committee Ha Sy Dong regarding the implementation of the BIIG2 Project, there are 5 packages in the process of selecting contractors that are warned of the risk of not being able to be completed by the end of the loan agreement on September 30. ADB announced that it will not accept payment of any expenses arising after this time.

5 important transport projects at risk of having their capital revoked by ADB due to slow progress

Huong Tan - Huong Linh Road is seriously damaged, while the sub-project to upgrade this route is at risk of having its capital withdrawn - Photo: QH

These 5 packages are all important traffic construction projects for socio-economic development such as: Hung Vuong Road sub-project connecting the East-West Economic Corridor and the Southeast Quang Tri Economic Zone and the Khe Muoc Lake bypass section; Traffic Road sub-project connecting Cua Viet port with the eastern communes of Trieu Phong - Hai Lang district and the central area of ​​the Southeast Economic Zone; Upgrading and renovating provincial road DT.579 connecting with Cam Lo - La Son expressway and Upgrading and renovating DT.582 road from km 3+450/DT.582 to km 13+450/DT.582 and building Hoi Yen 1 and Hoi Yen 2 bridges; Upgrading and renovating inter-commune traffic road Huong Tan - Huong Linh, Huong Hoa district; Sidewalk improvement project of Hung Vuong street, Dong Ha city.

According to Mr. Nguyen Thanh Binh, Director of the Quang Tri Provincial Construction Investment Project Management Board, the above 5 packages are expected to start construction in April and May 2025, with a construction period of 4 to 5.5 months. All sub-projects are transport and agricultural works, and the construction process depends heavily on the weather, construction site, and filling materials. Therefore, the board will complete before September 30 if the weather is favorable and localities hand over all the sites.

Based on the report of the Provincial Construction Investment Project Management Board, the Department of Finance has sent a document to the Provincial People's Committee proposing to speed up the progress of the BIIG2 Project. Deputy Director of the Provincial Department of Finance Nguyen Thi Thuong Huyen said that the remaining time to complete the project is not much (about 6 months), while the volume of work that has not been done is very large. Without the determination, focused direction, leadership, and support of agencies and units, there is a very high risk that the project cannot be completed on schedule. "The delay in implementing these packages not only affects the overall progress of the project but also puts great pressure on the local budget. The People's Committee of Quang Tri province will be responsible for allocating enough budget to continue completing the remaining items if they are not on schedule, according to the Prime Minister's direction and commitment to ADB," said Ms. Huyen.

In the face of the above situation, on April 2, Vice Chairman of the Quang Tri Provincial People's Committee Le Duc Tien signed an official dispatch directing relevant agencies and units to urgently urge the progress and completion of the BIIG2 Project, using ADB loans. BIIG2 is a key ODA project of the province, so the Provincial People's Committee requested to focus on resolving land clearance problems, especially at the Hung Vuong Road sub-project, review and propose counterpart capital needs to pay for this work; urgently synthesize the proposed capital needs for site clearance and arrange enough central budget capital for the project.

Assign the Department of Construction and the Department of Agriculture and Environment to preside over and minimize the time for document appraisal. The Provincial Investment and Construction Project Management Board is fully responsible for reviewing the implementation plan, assigning personnel, urging contractors, organizing weekly meetings and promptly accepting and paying capital. In particular, request units to use effectively, avoid loss and waste of investment capital and proactively propose and report to the Provincial People's Committee to direct the handling of issues beyond their authority.

The BIIG2 project has a total investment of 48.774 million USD, of which ADB loan capital is 33.25 million USD, including: concessional loan capital (ADF/COL) is 24.25 million USD, ordinary loan capital (OCR/MOL) is 9 million USD. Counterpart capital is 15.524 million USD.

Quang Hai



Source: https://baoquangtri.vn/5-du-an-giao-thong-quan-trong-co-nguy-co-bi-adb-thu-hoi-von-do-cham-tien-do-192690.htm

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