A slum along the polluted Văn Thánh Canal in Bình Thạnh District. HCM City plans to relocate over 1,000 households as part of a major urban redevelopment project. — VNS Photo Bồ Xuân Hiệp

HCM CITY — More than 1,000 households living along the heavily polluted Văn Thánh Canal in Bình Thạnh District will be relocated as part of a major urban redevelopment project.

At a special session on Saturday, the HCM City People’s Council approved the VNĐ8.55 trillion (US$336 million) project, which aims to dredge, upgrade, and restore the canal.

Of the total investment, VNĐ6.812 trillion will be allocated for compensation and resettlement of 1,065 affected households.

The remaining VNĐ1.743 trillion will be used for dredging the canal and upgrading surrounding infrastructure.

Stretching 1.9km from Điện Biên Phủ Bridge to its junction with the Nhiêu Lộc–Thị Nghè Canal, the Văn Thánh Canal serves as a vital drainage route for central HCM City. 

However, years of encroachment, pollution, and sediment buildup have severely reduced its capacity and degraded living conditions for nearby communities.

The redevelopment project, overseen by the HCM City Urban Infrastructure Construction Investment Project Management Board, is scheduled to begin construction in early 2027 and be completed by 2030.

The project comprises two main components: the resettlement of displaced households, which accounts for VNĐ6.812 trillion of the total budget, and canal dredging and infrastructure works, which are estimated at VNĐ1.743 trillion.

Key infrastructure improvements will include the full restoration of the 1.9km main canal and a 275m tributary, the construction of new roads ranging from 6 to 20m in width, and the reconstruction of Phú An Bridge, which will span 17m.

In addition, a section of Ngô Tất Tố Street (from An Phú Bridge to Phú Mỹ Street) will be expanded to 25m, and a new parallel road along Điện Biên Phủ Street will be developed. 

The project will also install new rainwater and wastewater drainage systems and a sewage collector network.

A total of 4.2 hectares will be allocated for green spaces, parks, and essential public utilities.

According to the city’s People’s Committee, the Văn Thánh Canal along with the Xuyên Tâm Canal is crucial for draining floodwaters from the Nhiêu Lộc–Thị Nghè basin.

City officials said that the project will significantly reduce flooding, improve environmental quality, and enhance the overall quality of life for residents in the area.

Preparatory work, including feasibility studies, zoning adjustments, and land clearance, will be carried out during 2025–2026. 

Contractor selection for design, supervision, and construction is expected to take place in 2026.

City leaders have described the canal revitalisation as a 'key component of HCM City’s broader strategy for climate resilience and urban regeneration'. — VNS