Preparing the Ho Chi Minh City Outer Ring Roads Technical Assistance Loan Project: Final Report

Date: December 2012
Document Type: Consultant's Reports
Project Number: 43393-022

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The integrated management of the urban expansion of Ho Chi Minh City and its adjoining provinces is viewed as the key to the sustainable growth of the city-region. Two major roads, i.e., Ring Road 3 (RR3) and RR4, are expected to support this vision.

This study proves that RR3 can perform the assigned project-related tasks effectively, showing all its subsections as economically viable with an overall EIRR of 23%, notwithstanding the fact that RR3 is planned as a high-standard toll expressway with a total investment cost of approximately VND84 trillion or USD4.1 billion. To further accommodate urban development and serve local traffic in the peripheries, RR3 is also planned to have service roads. This study, however, also reveals that the main radial roads connecting to RR3 would later become bottlenecks. Hence, for RR3 to function more effectively, the capacities of these connecting radial roads should also be increased.

RR4, on the other hand, will not function as expected mainly because the future urban area of Ho Chi Minh City is not forecast to expand to a scale that will need another ring road; nor is such an expansion advisable. The initial expectation of RR4’s function can be taken on mainly by RR3 more efficiently and effectively. Thus, the estimated traffic demand on RR4 and its resultant EIRR are low. The Study Team recommends that RR4 be redesigned as a non-toll road.