Log in
Business

US$306-mln Sapa Airport project kicked off

The airport is expected to boost socio-economic and tourism development in Lao Cai Province and the whole northwestern region of Vietnam.

The ground was broken for the construction of the VND6.9 trillion (US$306 million) Sapa Airport in Vietnam’s northwest mountainous province of Lao Cai on March 3.

The project, carried out under the public-private partnership (PPP) financing mechanism, covers a 371-hectare site in Bao Yen District, less than two hours from the tourist town Sapa.

 The groundbreaking ceremony of Sapa Airport was held on March 3. Photo: Viet Huy

The Sapa Airport project is set to be executed in phases, the first of which began in 2021 with the construction of a 4C category airport (capable of accommodating narrow-body jets) according to the classification of the International Civil Aviation Organization (ICAO). The airport is expected to have a handling capacity of 1.5 million passengers per year.

The second phase will start in 2028 to finalize other facilities and raise the airport’s capacity to three million passengers per year.

At the groundbreaking ceremony, Nguyen Trong Hai, vice chairman of the Lao Cai People's Committee, hailed the project as a breakthrough in transport infrastructure in the province and the mountainous regions of the north of Vietnam.

“Once completed, the airport is expected to boost socio-economic and tourism development in Lao Cai Province and the whole northwestern region,” Hai said.

The project is divided into two sub-components, including a site clearance project financed by the public investment fund and the airport construction under the PPP.

It is estimated the first phase would require VND4.18 trillion ($184 million), or 60% of total investment capital, and the remaining 40%, or VND2.76 trillion ($121.2 million), for the second phase.

The Government would contribute VND2.73 trillion ($120 million) in the project for site clearance, resettlement, and infrastructure construction, while another VND4.2 trillion ($184 million) would be mobilized by investors.

The Government expects the total construction time to be around 4 years and another 46 years to recover the investment capital.

Sapa, around 380 kilometers from the capital city of Hanoi, is one of Vietnam’s most famous tourist destinations and home to various ethnic minority groups.

Reactions:
Share:
Trending
Most Viewed
Related news
Vietnam decides 2% VAT cut on petroleum, coal through 2026

Vietnam decides 2% VAT cut on petroleum, coal through 2026

The National Assembly has passed a 2% VAT cuts for fuel, coal, and IT services to stimulate production and business operations.

Thousands of cases of counterfeit goods disclosed in one-month crackdown

Thousands of cases of counterfeit goods disclosed in one-month crackdown

Counterfeit goods and intellectual property infringements made up the largest share.

Khai Thai chicken eggs trademarked to boost rural value and traceability

Khai Thai chicken eggs trademarked to boost rural value and traceability

The trademark registration provides an international classification system for Khai Thai chicken eggs to enhance brand protection and product traceability.

Vietnam, US conclude third round of reciprocal trade agreement talks

Vietnam, US conclude third round of reciprocal trade agreement talks

The talks marked a constructive step toward a future deal aimed at promoting balanced and sustainable economic ties between the two countries.

Vietnam promotes low-emission rice to access high-value markets

Vietnam promotes low-emission rice to access high-value markets

As part of its strategy to develop sustainable agriculture and reach premium international markets, Vietnam is advancing the production and export of low-emission rice.

Vietnam stock market set to ride on local cash inflows in June

Vietnam stock market set to ride on local cash inflows in June

The market is expected to continue its rally despite some short-term corrections on lower market confidence.

H&M, Syre Group to expand retail, green textile industries in Vietnam

H&M, Syre Group to expand retail, green textile industries in Vietnam

Swedish companies plan to expand green investment in Vietnam's textile and garment industry.

Vietnam’s AI economy to reach US$130 billion by 2040 

Vietnam’s AI economy to reach US$130 billion by 2040 

The report identified AI as a key driver of Vietnam’s future economic growth.