HÀ NỘI — Việt Nam’s road infrastructure is set for a digital boost, as the International Finance Corporation (IFC) invests VNĐ500 billion (US$19.2 million) in VETC Joint Stock Company, the country’s leading electronic toll collection (ETC) provider.

The five-year convertible bond deal will help VETC, which controls 75 per cent of the ETC market, expand its system nationwide by 2030. The company also plans to introduce cashless services such as e-parking, airport fees and fuel payments.

VETC General Director Nguyễn Lê Thăng said the investment will accelerate the shift to smarter, greener mobility.

"This pivotal investment from IFC enables us to accelerate the deployment of advanced ETC systems, delivering unmatched efficiency, cost savings and environmental benefits to road users.

“Beyond toll collection, we are laying the groundwork for a smarter, greener and more connected mobility future, creating significant economic and social value for our country," Thăng said.

Road transport is key to moving people and goods in Việt Nam and is being rapidly expanded and modernised. The Government plans to build over 5,000 kilometres of expressways by 2030 and another 9,000 kilometres by 2050. A 2022 regulation requiring ETC systems on all expressways has sped up the use of digital tolling nationwide.

Since its debut in 2015, ETC use has surged, cutting travel time, fuel use and emissions, saving nearly $1 billion over five years, according to the Ministry of Transport.

As Việt Nam expands its expressway network, digital tolling plays a vital role.

“As Việt Nam’s economy continues its strong growth trajectory and its role in global supply chains expands, the need for efficient and sustainable infrastructure is crucial,” said Katherine Koh, IFC Regional Industry Manager for Infrastructure and Natural Resources in Asia and the Pacific.

She said smarter infrastructure will support economic growth and reduce congestion and greenhouse gas emissions. — BIZHUB