The ADB investment in Can Tho will be spent on developing smart city infrastructure, lighting systems with smart technology, and public buildings, according to an article on legal news site Out-Law. Funding for the project will come from an official development assistance loan (ODA) of 32.9m US dollars from ADB, another ODA loan of 7.07m US dollars from the Green Climate Fund (GCF) and a 7.07m US dollars grant and the rest from the state budget.
John Yeap of Pinsent Masons, the law firm behind Out-Law, said in the article: “Smart cities not only have the ability to deliver better quality of life but also help to reduce the impact of modernity on the climate and environment.” He continued that Vietnam is an emerging economy with strong economic growth and therefore potential for increasing environmental impact. “By backing this smart city initiative, the ADB could be leading the way for greater investment into other smart cities around the region,” said Yeap.
If proposals are approved, work on the first phase of the project, including purchase and construction, will start in 2022. It is expected to be completed by 2025.
