Chinese infrastructure giant offers upfront financing for Ho Chi Minh City projects

The company's founder made the commitment during the signing ceremony for a memorandum of understanding with the Ho Chi Minh City Department of Construction on Friday.

Pacific Construction Group is one of the world's largest private enterprises in infrastructure investment and construction.

The company specializes in public-private partnership projects and EPCF (Engineering, Procurement, Construction, and Financing) contracts.

The group is currently involved in several projects in Vietnam, including the Van Cao - Hoa Lac section of Hanoi's metro line No. 5.

According to the Ho Chi Minh City Department of Construction, the city is focusing on implementing numerous key programs and projects to develop modern, synchronized, and sustainable technical, transport, and urban infrastructure systems.

The department said strengthening cooperation with major international companies that possess experience, capacity, and global credibility would contribute to the city's socio-economic development.

Under the memorandum, the two sides will promote cooperation based on their respective strengths and needs, focusing on urban planning research, technical standards and regulations, workforce training, human resource development, and technology transfer.

They will also exchange information related to investment activities as a basis for studying and proposing future projects.

Within its authority, the Department of Construction will provide necessary information and coordinate with the group in accordance with the memorandum, enabling the company to assess opportunities to participate in infrastructure projects.

The department will also provide guidance on procedures in compliance with Vietnamese law.

Pacific Construction Group will work with the department and relevant agencies to study planning issues, propose technical and technological solutions, and develop technical standards and regulations.

The company will also research implementation methods and financing options suitable for projects.

The group will bear responsibility for all costs, resources, and risks arising during project research and preparation.

The memorandum does not grant any preferential rights or commitments regarding investor or contractor selection unless approved by competent authorities in accordance with regulations.

Speaking at the signing ceremony, Yan Jiehe, founder of Pacific Construction Group, expressed appreciation for the support provided by Ho Chi Minh City authorities to the company.

He said the group's experience in implementing large-scale and technically complex projects around the world gives it confidence in participating in infrastructure development initiatives in the southern Vietnamese metropolis.

The company was also committed to prioritizing the use of Vietnamese goods and services when working with local partners, provided they meet technical, quality, and schedule requirements.

In addition, Pacific Construction Group pledged to transfer technology to Vietnamese partners and support human resource development throughout project implementation.

Yan said the company always aims to deliver projects with the highest quality and fastest possible construction schedules in order to reduce both construction and long-term maintenance costs.

"Our philosophy is to build projects guided by conscience, honor, and responsibility to future generations," Yan said.

As for the funding commitment for projects in Ho Chi Minh City, Yan said that the city could repay the funds over an agreed period at low interest rates, and that the group would not add profit margins to investment costs or impose any additional charges.