A company involving in operation and maintenance of urban railways will be set up in Ho Chi Minh City in 2013 with assistance from the Japan International Cooperation Agency (JICA).
The plan is under the first phase of a freshly-signed agreement on a technical assistance project between JICA and Ho Chi Minh City.
According to JICA, Ho Chi Minh City planned to put some urban railways into use in the next five to seven years, helping to ease traffic jams and improve traffic safety as well as solve the problem of air pollution.
Ho Chi Minh City’s first urban railway, Ben Thanh - Suoi Tien route is under construction, using loans from the Japanese government. The first loan worth 20,887 million JPY (approximately 255 million USD) was signed in 2007 and future loans are expected to be considered and signed in the coming years.
