The Government of Ho Chi Minh City (HCMC) has prioritised urban railway expansion as a key transportation strategy, with the aim of completing a 355 km network by 2035 and extending it by another 155 km by 2045. Following its administrative merger with Bà Rịa-Vũng Tàu and Bình Dương, the city plans to revise its railway blueprint to extend lines into surrounding provinces including Đồng Nai and Tây Ninh. This builds on a broader effort to stimulate investment and urban growth through Transit-Oriented Development (TOD).
With an estimated USD40 billion investment by 2035, the development strategy leverages a mix of funding sources—central and local budgets, ODA, PPPs, bonds, and international loans. A new management model for the urban rail authority and a more defined investment approval process are also being considered. The Prime Minister is authorised to allocate up to VND209.5 trillion (USD8 billion) in medium-term funding, while the city’s People’s Council will manage local budget allocations.
Policy incentives will support domestic industrial capacity, technology transfer, and the use of sustainable materials. Authorities are also focusing on improved coordination, land use efficiency, and fare revenues to maintain and expand the system. The expansion aligns with national-level policies under Politburo’s Conclusion No. 49 and Resolution No. 188, positioning HCM City as a model for integrated urban transit in Vietnam.