Japan funds Vietnam port development

The Japan International Co-operation Agency expects to sign an agreement before the end of April for the first tranche of what is planned to be Y120bn in loan financing for development of the Lach Huyen Port, a JICA official said.

The deepwater port, which will be built just over 100km east of the capital Hanoi, is meant eventually to replace the nearby port city of Haiphong as the gateway to northern Vietnam.

A Japanese consortium including trading house Itochu and shipping groups Nippon Yusen KK and Mol would invest a further Y20bn in the project through a joint venture to be formed with Vietnam National Shipping Lines, the FT reported the official as having also said.