Non-Subscriber ExtractGaruda prepares major Vietnamese investments |
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By Ben Vogel
29 January 2010
Garuda Group is poised to invest up to USD15 billion in building three new airports in Vietnam, after it signed a series of agreements with government agencies.
The Civil Aviation Administration of Vietnam (CAAV) is implementing an ambitious infrastructure expansion programme to cope with forecast demand growth from tourist and domestic sectors. It predicts that passenger traffic across its national airport network will approach 85 million by 2020, and plans to accommodate this by expanding its existing network of three international airports and building new facilities for domestic travellers.
Garuda has earmarked around USD6 billion for the new Long Thanh International Airport to serve the capital Ho Chi Minh City. A site has already been selected 43 km from the capital. Garuda will deliver a masterplan after conducting a feasibility study in conjunction with the state-owned Southern Aviation Corporation.
Garuda will also construct a new international airport serving Hanoi, after signing a Memorandum of Understanding with the Airport Design Construction Consultancy (another state-owned body) to establish an USD8 billion joint venture (JV). Other foreign partners on the Ha Noi project (to replace the existing Noi Boi International Airport) include Galo Architects of Spain and AIG of Italy.