Vietnam to adopt special policies for railway investment and development

June 10, 2025 | 09:00

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The government issued a resolution on June 9 on draft amendments to the Law on Railways, adding specific policies for railway infrastructure projects.

The resolution aims to remove obstacles and create breakthroughs in the development of Vietnam's railway industry. The government plans to submit the draft to the National Assembly at the 9th session of 2025.

Vietnam to adopt special policies for railway investment and development

Vietnam Railways operates on outdated tracks. Photo: VNR

“The amendments are of strategic significance, aiming to legalise the Party and state's guidelines and policies. The draft is expected to open up a more flexible legal space, allowing the application of policies that the National Assembly has previously allowed for large-scale infrastructure projects,” an expert said.

The prime minister has approved a national railway network plan, including a list of key projects, an implementation roadmap, and investment needs.

He has also approved provincial and municipal plans, setting the goal of developing urban railway systems in Haiphong, Danang, Binh Duong, and Can Tho by 2030. By 2035, Hanoi and Ho Chi Minh City must basically complete their urban railway networks.

The implementation of railway projects has faced many obstacles in recent times, from investment procedures, resource mobilisation, and site clearance, to human resource training, technology transfer, and supporting industry development. These barriers have slowed progress, affecting the investment efficiency and competitiveness of railway transport.

Vietnam's national railway network currently has seven main lines and 12 branch lines, with a total length of 2,703 km of main lines. The railway industry mainly meets the needs of maintenance and repairs for low-speed vehicles, and production of outdated mechanical equipment and materials.

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By Bich Thuy

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