Vietnam will use ODA funds Japan will provide under an agreement to be signed next month to develop Hai Phong into an international port.
Vuong Dinh Lam, director of the Vietnam Maritime Administration, said the cost of the upgrade could top US$ 800 million, of which 75 percent will come from Vietnam’s own resources.
The work, to begin in 2012, will involve dredging and building breakwaters, signaling marine buoys, and others.
It will be done under a public-private partnership, with the state-owned Vietnam National Shipping Lines forming a joint venture with Japanese corporations Itochu, NYK, and Mitsui for the purpose.
Once it is completed in 2014, the port will become large enough to berth 100,000 DWT vessels.
Japan, which is Vietnam’s biggest donor, has committed ODA worth $1.64 billion this year, slightly down from last year’s $2.2 billion.
The major projects that have been undertaken using Japanese ODA include the Ben Thanh – Suoi Tien Metro route, East-West Highway, and Thu Thiem Tunnel in Ho Chi Minh City and the Can Tho Bridge.
