Vingroup, Vietnam's largest private conglomerate, will increase the investment capital for the Vu Yen Island project in the northern city of Haiphong to VND55.87 trillion ($2.36 billion), almost three times the original amount.

Vinpearl Golf Haiphong area's view. Photo: Vingroup

The investor's proposal was referenced in the report prepared by the Ministry of Planning and Investment (MPI) for the Prime Minister. The report highlighted that the MPI, along with relevant sectors and departments, have granted their approval and support for the proposed adjustment.

Last month, the conglomerate proposed to adjust six points in this project, including investment objectives, location, land use area, project content, total investment capital, and progress. Among them, the construction cost is about VND38.72 trillion ($1.63 billion). Vingroup planned to contribute VND8.38 trillion ($354.4 million), with over VND47.4 trillion ($2 billion) from loans and other sources.

The project adjustment aims to align with the approved general plan of Haiphong for the period leading up to 2040 and the vision for 2050. As per the adjustment, the land use area will be reduced from 872.52 hectares to 869.53 hectares. Moreover, within the expanded 200.99-hectare low-rise residential area, there are plans to construct 7,095 villas and 3,553 adjacent houses.

The construction of a 2.2 km Mai Chai Bridge to connect the city center with Vu Yen Island will be added. The implementation period will be extended by another six years.

The project was approved by the Government in mid-2015 and covers more than 870 hectares on the entire island of Vu Yen, Dong Hai 1 Ward, Hai An District, and Thuy Trieu Commune, Thuy Nguyen District.

According to the initial approval, the main items of the project include a 36-hole international golf course, 1,116 ecological villas with a population scale of 4,000-4,800 people, a complex of public services, entertainment and green spaces, landscape and ecological areas, land for transportation, technical infrastructure and a cable car to the island.