BIDV finances new resettlement project

March 04, 2013 | 14:40

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State-run major bank BIDV signed a credit contract February 27 to fund a Ho Chi Minh City housing project accommodating thousands of families and individuals who have had to resettle to make way for the development of the Thu Thiem New Urban Area.

The new Thu Thiem urban area, designed to house Vietnam’s first financial centre, is under construction in the city’s District 2.

BIDV will provide Ho Chi Minh City-based 21st Century Company with 24-month loans of VND4,914 billion ($236.2 million) to develop the project, which will need VND6,143 billion ($295.3 million) in all.

The project will cover more than 30 hectares and include 4,216 apartments in all in 28 residential towers and 10 apartment blocks.

This is one of the city’s three resettlement projects, comprising 12,500 apartments in all, to provide relocation necessary to make way for the Thu Thiem New Urban Area.

Hanoi-based BIDV has so far signed credit contracts for the building of 55 per cent of these flats with VND6,806 billion (over $327 million) in funding.

Thu Thiem New Urban Area, designed by Japan’s Sasaki, will cover 7.7 square kilometres on Thu Thiem Peninsula. Once completed, this area would replace District 1 as the city’s financial centre. It is connected with the current business district with several bridges and a six-lane tunnel under the Saigon River – the Thu Thiem Tunnel.