Special mechanism applied for key projects in Vũng Áng EZ

VGP – The PM just allowed the application of special mechanisms in mobilizing, managing and using investment capital for infrastructure construction in the Vũng Áng Economic Zone of the central province of Hà Tĩnh.

November 28, 2009 8:10 AM GMT+7

Vũng Áng Economic Zone can become an industrial, tourism and service city

The Government chief agreed that major project in the EZ will enjoy money from the State budget to upgrade technical infrastructure and facilitate the work of site clearance and resettlement.

With the permission of the NA Standing Committee, the large-scale infrastructure projects can receive governmental bond capital.

The Government chief also allowed the use of ODA capital for important infrastructure projects which should be financed by the local budget. The central budget will provide the entire counterpart financing for these projects.

The local government is permitted to issue local governmental bonds or take legal loans, including foreign ones, to invest in key projects.

Vũng Áng Economic Zone was founded under the PM’s Decision 72/2006/QĐ-TTg dated on April 3, 2006. It covers 22,781 ha of nine communes in the southern part of Kỳ Anh District of Hà Tĩnh Province. The EZ possesses the deep-water port Vũng Áng-Sơn Dương which can receive 50,000-250,000 ton ships.

The EZ is the concentration of many large projects, including the Sơn Dương Steel Complex and Seaport (nearly US $8 billion), Thermo-electricity Plant Vũng Áng I (US $1.2 billion), and Hồ Tàu Voi Tourism Area (US $70 million).

By Phương Hạnh