Đa dạng hóa nguồn lực tài chính cho phát triển hạ tầng giao thông thành phố hà nội tt tiếng anh

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FOREWORD
1. The significance of the research topic:
The transportation condition of each country is a fact to measure and assess its development standard.
Although Hanoi capital is a key city of Vietnam, its traffic infrastructure has not been well-developed. To solve
this problem, we need financial resources to re-arrange the urban traffic of Hanoi. The capital’s transport
infrastructure has been affected by the urban and economic development. The city has diversified available
resources to prepare for this growth, however, it is still limited. Transport infrastructure has not satisfied the
urban development.
For these reasons, “A research of diversifying financial resources for transport infrastructure development
of Hanoi”, which has been worked out as a doctoral thesis of Political Economics field, is necessary in order to
show the relationship among resources in the general development. The result of the research is aimed to
contribute to the socio-economic growth in the development stage of Hanoi capital city.
2. Research goals and topics
2.1. Research goals
The research is based on scientific basis and surveys about the diversification of financial resources for
transportation development. In addition, the research proposes solutions for the diversification of financial
resources for transport infrastructure development of Hanoi.
2.2. Research topics
Firstly, the research focuses on systematizing and analyzing the scientific basis for the diversification of
financial resources for transport infrastructure development.
Secondly, doing surveys to collect experts’ opinions about the current situation of diversifying financial
resources for transportation development in Hanoi city.
Thirdly, analyzing and evaluating financial resources for transport infrastructure development during the
period of 2008 – 2017 (focusing on the investment in developing road transportation) of Hanoi city.
Furthermore, the research aims to shape and propose solutions to diversify financial resources for transport
infrastructure development of Hanoi.
3. Research subject and scope

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The subject of the research is economic and organizing problems in the mobilization and diversification of
financial resources for transport infrastructure development of Hanoi. This also means to socialize financial
resources for transport infrastructure development in Hanoi.
- For managers, the thesis approaches in two aspects:
Firstly, on one hand, the study summarizes and analyzes contents of management activities in current
situation. On the other hand, the author of the thesis has interviewed some economic organizations to work out
the recipients’ responses to management activities when the diversification of financial resources for transport
infrastructure development is implemented.
Secondly, solutions that are proposed by the thesis for managers, are suitable for current trends and
requirements of diversifying financial resources for transport infrastructure development as well as conditions
that can be mobilized.
- Regarding the economic individuals in Hanoi city: This is a significant approaching subject of the thesis.
These individuals, who are running their own businesses, are creating the level and scale of the diversification.
They should be both the approaching subject and beneficiaries of the research results.
With above approaches, the thesis has investigated the topic in different ways and used the latest research
methodologies in order to consider all intrinsic and interactive relationships of the researched subjects that
involved in the process of diversification. In addition, natural relationships are found and quantified in order to
point out issues that need actions. Furthermore, we can quantify these actions/impacts by real solutions for the
diversification of financial resources for transport infrastructure development of Hanoi city.
4.2. Method of investigation
A survey has been done in order to investigate opinions of experts about the diversification of financial
resources for transport infrastructure development in Hanoi city.
The survey result shows 08 groups of problemts as follows:
Group 1: Limitations in diversifying financial resources for transport development of Hanoi city.
Group 2: Causes of limitations in diversifying financial resources for transport development of Hanoi city.

3.1. Research subject

Group 3: Plans to establish an organization to manage financial resources for transport development of

Hanoi city.

The direct subject of the research is economic and organizing problems in the mobilization and
diversification of financial resources for transport infrastructure development; secondary data about road
transportation of Hanoi city.

Group 4: Structures of specialiazed organizations that perform the function of diversifying financial
resources for transport infrastructure development.

3.2. Scope of the research
- Scope of content and space: based on spatial scope of Hanoi city.
- Scope of time: the thesis focuses on investigating and evaluating the current situation of diversifying
financial resources for transport infrastructure of Hanoi.
- Scope of content: within the scope of researching and investigating opinions of experts about the
diversification of financial resources for transport infrastructure development. In addition, the thesis uses
secondary data about financial resources for transport infrastructure development in road transport.
4. Methodology of approach, investigation and research
4.1. Method of approach

Group 5: Management mechanism for the diversification of financial resources for current transport
infrastructure development.
Group 6: Management mechanism for the diversification of financial resources for current transport
infrastructure development.
Group 7: Assessments of the number of members in deparments and agencies that are performing the
diversification for transport infrastructure development in Hanoi.
Group 8: Asssessments on viewpoints related to the diversification of financial resources for transport
infrastruture development.
The questionaires are based on Linkert scale with 5 levels: 1: Absolutely disagree; 2: Disagree; 3:
Indecisive, 4: Agree; 5: Absolutely agree.
4.3. Method of research

Bị lặp lại với nhóm 5


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In order to obtain above objectives, the study relies on the dialectical and historical materialism as a
methodological basis to research the diversification of financial resources for transport infrastructure
development in the relationship with the unstable situation of political, economic, social and environmental
factors of the city, the country and the world.
4.4. Research questions
Question 1: How is the diversification of financial resources for transport infrastructure development in
Hanoi city implemented in the current economic development situation?
Question 2: What is the importance of financial resources in the process of diversifying financial resources
for transport infrastructure development in Hanoi city?
Question 3: What are limitations and causes in the process of diversifying financial resources for transport
infrastructure development in Hanoi city?
5. Research outline
Chapter 1: Overview of published researches related to the study topic
Chapter 2: Scientific basis for diversifying financial resources for transport infrastructure development
Chapter 3: Research results of diversifying financial resources for transport infrastructure development in
Hanoi
Chapter 4: Solutions to foster the diversification of financial resources for transport infrastructure
development in Hanoi.

CHAPTER 1
RESEARCH OVERVIEW
1.1. Overview of published researches related to the study topic
1.1.1. Overview of theoretical issues on transport infrastructure development
Theories about diversifying financial resources have been written by many scientists and managers. Adam

Smith (1997); Michael P.Todaro (1998); Joseph E.Stinglits (1995); E.Wayne Nafziger (1998) are among
authors, who stressed the capital accumulation and the role of capital in the growth and development of a
country. They also showed the use of capital in the infrastructure construction for production activities, the
circulation and consumption of goods as well as issues related to the allocation of social capital.
1.1.2. Overview of researches on the diversification of financial recourses for transport infrastructure
development
Group 1: Researches on financial resources from the state budget: Edame & Ejue (2013); Aschauer (2007)
clarified the role of state budget to the infrastructure development and economic growth. They proposed that the
government should make a great effort to invest a suitable budget in the development of infrastructure.
Group 2: Researches on ODA: Byoungki KIM (2006); Tony Addison & Pb Anand (2012); Gavieta (2010);
Minoru Makishima and colleagues (2010) affirmed that the target and source of ODA’s capital play a significant
role in supplementing the shortage in the development of transport infrastructure in developing and undeveloped
countries.
Group 3: Studies on FDI’s capital invested in transport infrastructure development. According to OECD,
FDI plays an important role in the global cooperative economy. FDI creates a direct, stable and long-term
relationship among economies.
Frank Sader (1990); Glass, A. J. (2009) showed a strong growth when private sectors participate in
infrastructure investment using FDI capital, which is managed by the local government.

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Group 4: Researches on public-private partnerships in infrastructure investment: Alfen (2006); Geneva
(2013) showed a new trend in the cooperation of privates and the government in infrastructure development. It
opens a new path for the process of molibizing capital for investment. In adidition, PPP capital is also the
motivity and effective solution in mobilizing domestic capital.
1.1.3. Overview of published domestic studies related to the thesis topic
Some typical researches related to the role of financial resources for infrastructure development in Vietnam
includes:
Group 1: Studies on state capital in transport infrastructure development: According to domestic
researches, which analyzed the current situation of mobilizing internal capital sources to invest in the

construction of transport infrastructure, neither government nor private investors can afford to invest in the whole
infrastructure system because it can bring low economic efficiency and many risks.
Group 2: Researches on ODA’s capital for transport infrastructure development: Authors of these studies
deeply analyzed the investment in transport infrastructure development using the important capital sources. This
method of investment requires a large amount of capital and investors will have difficulty in recover the capital.
Group 3: Studies on attracting FDI’s capital in the investment of transport infrastructure development:
These works figured the role of FDI’s capital in the development of infrastructure system that can be a premise
for economic development, making Vietnam a developed country in future. In addition, they showed solutions
to attract more investments and use the foreign FDI’s capital more effectively in the contruction of infrastructure
system in order to foster the industrialization and modernization of the country on the way to join the economy
of our region and the world.
Group 4: Studies on public-private partnerships in the investment of infrastructure development: These
studies research about the diversity of financial resources in general construction investment and specially in
transport infrastructure by attracting resources based on partnership principles.
1.2. Raised issues for next research steps of the thesis
From the overviews of related studies to the thesis topic, some issues are figured out for next research steps,
as follows:
Firstly, financial resources for transport infrastructure development of the city should be diversified in the
relation to its socio-economic expansion. The thesis should clarify the correlation between the capital ownership
and management content as well as the use of each capital form and source.
Secondly, summarizing the experiences of both domestic and foreign regions into lessons to apply to the
diversification of financial resources for transport infrastructure development in Hanoi.
Thirdly, applying the theoretical analytic framework to research, analyze, evaluate the situation and
experimentally investigate the diversification of resources for road transport infrastructure development in Hanoi
city.
Fourthly, proposing perspectives, directions and solutions for increasing the diversification of resources for
transport infrastructure development in Hanoi during 2018 – 2030.
CHAPTER 2
SCIENTIFIC BASIS FOR DIVERSIFYING FINANCIAL RESOURCES FOR TRANSPORT
INFRASTRUCTURE DEVELOPMENT

2.1. Fundamental issues about financial resources for transport infrastructure development
2.1.1. Transport infrastructure
2.1.1.1. Definition of transport infrastructure
Transport infrastructure is one of significant parts of the infrastructure system. Therefore, it is a key
framework to support our transport system, including roads and their related constructional structures.
From the above analysis, it can be refered that transport infrastructure system (or called transport
infrastructure) is a system of transport structures built to make certain that the movement, pickups and transport
of goods and services of vehicles will be taken place quickly, conveniently and safely.


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2.1.1.2. Role of transport infrastructure in the socio-economic growth
Firstly, infrastructure plays a fundamental role in the socio-economic development of every country. It brings a
driving force for the growth of our economy.
Secondly, it creates a premise for accelerating the restructuring and changing economic structure of countries.
Thirdly, since transport system draws an attraction to investors, it plays a role in attracting foreign investment.
Fourthly, the development of transport infrastructure, especially road transport in undeveloped areas, are quite
fair among local regions of different countries.
2.1.2. Financial resources
- The concept of financial resources: Finance refers to economic relations in the form of currency arised
during the process of mobilizing, distributing and using centralized and decentralized monetary funds from
economic sectors and classes of population in order to promote the socio-economic growth.
It includes economic relations among: (1) the government and agencies, economic units and population
classes; (2) the intermediary financial institutions and non-financial agencies and population classes; (3) the
agencies, economic units and the population as well as their internal economic relations; (4) countries around
the world.
Financial resources are the overall of centralized and decentralized monetary funds raised from economic
sectors and classes of the population. They can be mobilized to develop the society and economy through the
process of distributing and redistributing.

2.1.3. Financial resources for transport infrastructure development
The financial resources for transport infrastructure development are the overall of centralized and
decentralized monetary funds from economic sectors and classes of the population. They can be mobilized to
develop transport infrastructure that is able to satisfy the requirements of the socio-economic development of a
region or a country in a certain period.
2.2. Contents of diversifying financial resources for transport infrastructure development
- Diversify financial resources mobilized from economic sectors: Financial resources can be mobilized from
all state-owned and non-state economic sectors. They can be also taken from the foreign invested economic
sectors.
- Diversify forms of mobilization
Financial resources can be mobilized from the state budget or through the form of sharing by the
government and people as called in the slogan: “the state and people do it together”. They can also be mobilized
by exchanging land for infrastructure or auctioning the rights of using lands.
2.3. Factors affecting the the diversification of financial resources for transport infrastructure
development
Projects, targeted programs and plans to diversify financial resources for transport infrastructure
development
The organizing the management apparatus to diversify financial resources for transport infrastructure
development
The system of mechanisms and policies of the diversification to attract financial resources for transport
infrastructure development
The quality of human resources involved in the diversificaiton of financial resources for transport
infrastructure development
2.4. Lessons from the diversification of financial resources for transport infrastructure development
Researches on the mobilization of the resources for the transport infrastructure development, especially in
road transport, in some particular countries can bring some lessons for the mobilization of the resources for the
transport infrastructure development in Hanoi city.
Firstly, in studied countries, the mobilization of resources for infrastructure development are determined as
an important solution to develop the infrastructure. Particularly, in transport sector, since the infrastructure needs

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investing with a large amount of capital, these countries have identified the need of diversifying capital sources.
Secondly, in the process of diversifying resources, all countries realize the role of the state budget and
consider it as a significant factor to attract other resources. Most of undeveloped countries and nations, which
used to follow the central planning mechanism (as China and Brazil), emphasize the role of resources from the
budget and invest a proportion of the budget in the infrastructure development. Whilst, although developed
countries consider the role of resources from the state budget, they determine that the state budget is not the
main capital source to develop infrastructure system.
Thirdly, countries have called for the participation of private sectors and foreign investors.
Fourthly, countries collect traffic fees for complete roads and consider this activity as a supplementary
resource for maintenance and reinvestment of transport infrastructure development.
Fifthly, a country needs a synchronous and methodical implementation plan in order to mobilize resources
and develop transport infrastructure, especially rural tranport infrastructure.
Sixthly, it is neccessary to clarify the resources from the state budget and determine the ways of combining
them with other resources to promote the attraction and leverage role of this budget source.
Seventhly, propaganda is an instrument that countries have used to mobilize resources of local people into
the construction of rural roads. It is a fact that the regions, which have the great participation of local people,
have done well in the propaganda activities and completed transport development standards in the process of
rural development program.
Eighthly, piloting, summarizing and expanding forms of attracting capital. This is a lesson to mobilize
resources for transport infrastructure development in Hanoi city in a sustainable way.
CHAPTER 3
RESEARCH RESULTS OF DIVERSIFYING FINANCIAL RESOURCES FOR TRANSPORT
INFRASTRUCTURE DEVELOPMENT IN HANOI CITY
3.1. Overview of natural and socio-economic conditions affecting the resource mobilization for transport
infrastructure development in Hanoi
3.1.1. Positive impacts on the development of transport infrastructure and road transport
Firstly, in terms of geographical and political position, Hanoi city, as the political, cultural and economic
center of Vietnam, will be the first place to be invested in socio-economic development, including transport

infrastructure in general and road transport in particular.
Secondly, natural resources have reduced costs for constructing transport structures. Especially, the city
should take road traffic into consideration for evaluating and exploiting.
Thirdly, the city has advantages of the terrain and river system that make it possible to reduce the investment
costs for constructing transport structures. It is considered as an important natural resource for the city in the
process of building transport infrastructure.
Fourthly, the natural conditions also support many projects on socio-economic development planning and
transport development schedules of Hanoi.
Fifthly, Hanoi city has a rapid urbanization process that creates an increase in the value of natural resources,
especially land resources. When Hanoi has a high value of land using rights, which is managed and auctioned
by the local government, the exchange of the land for large infrastructure with suitable mechanisms and policies
is a valuable resource that the city can exploit to develop transport infrastructure.
Sixthly, the socio-economic development in Hanoi city make it have a higher income and living standards
than other localities. This is an important basis for the city to take advantages of its financial resources from
local people and let them participate in the transport infrastructure development, especially road transport with
the slogan: “the state and people do it together”.
3.1.2. Negative impacts and challenges in transport infrastructure development and road transport


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Firstly, the geographical position of Hanoi requires a synchronous and standardized transportation system
in general and road traffic in particular. With an infrastructure system, the city will need huge resources for road
transport infrastructure development.
Secondly, although the climate in Hanoi is quite favorable for constructing transport structures.
Thirdly, although the city has a high value of land using rights, it is difficult and challenging to compensate
for land acquisition, especially urban land. The city should pay attention to this point not only to reduce the
investment costs but also to generate revenue for road traffic development.
Fourthly, the city has been put in the struggling situation when it has to address current urgent requirements
while moving to modern and sustainable development in the future. This conflict raises issues for planning the

infrastructure of the city. It requires a broad and long-term vision with the development of provinces in the Red
River delta.
3.2. Actual situation of transport infrastructure in Hanoi city
Hanoi is the capital city of Vietnam, featuring a diverse transport infrastructure with all types of
transportation such as airways, railways, waterways and roads.
3.3. Results of specialist surveys on the current situation of diversifying financial resources for transport
infrastructure development in Hanoi
In order to collect data for the research, the author has conducted a questionnaire and distributed it to 200
subjects in the scope of the research. The author has collected 175 surveys (about 87,5%) and other 162
questionaires used in the subsequent analysis. The analysis of the current situation of diversifying financial
resources for transport infrastructure development in Hanoi has worked out some results as follows:
3.3.1. Results of Exploratory Factor Analysis (EFA) on limitations in the diversification of financial
resources for transport development in Hanoi city.
The analysis results show that with 17 evaluating criteria that the author has conducted to measure
“limitations in the diversification of financial resources for transport development in Hanoi city”, four key
factors can be taken out to evaluate restrictions in the diversification of financial resources for transport
development in Hanoi city. According to collected surveys, these four factors can explain 70,53% of the
variation of the data.
Therefore, with the above results from exploratory factor analysis, the first 17 evaluating criteria to measure
“limitations in the diversification of financial resources for transport development in Hanoi city” will be
shortended into four factors.
3.3.2. Result of evaluating the reliability of the Cronbach’s Alpha coefficient
The research results from the sample show that Cronbach's Alpha coefficient calculated for 5 observed
variables of Q2_F1 factor, which is “restrictions in the cooperation, examination and observation of the
diversification of financial resources for transport infrastructure”, is 0.890, greater than 0.7. Therefore, it can
be concluded that the scale is well-used to measure Q2_F1 factor. The variable correlation coefficient – the sum
of observed variables is greater than 0.4, ensuring the convergence of the scale. However, when the author
evaluates Cronbach's Alpha value calculated for each observed variable if item deleted, for observed Q2_10
variable, Cronbach's Alpha coefficient if Q2_10 variable deleted is greater than the general Cronbach's Alpha
coefficient. Therefore, it is advisable to remove Q2_10 variable in order that the factor F1 is better.

The research results from the sample show that Cronbach's Alpha coefficient calculated for 5 observed
variables of Q2_F2 factor, which is “limitations in the diversification of financial resources for transport
development”, is 0.890 (Table 13), greater than 0.7. Therefore, it can be concluded that the scale is well-used to
measure Q2_F2 factor. The variable correlation coefficient – the sum of observed variables is greater than 0.4,
ensuring the convergence of the scale. Cronbach's Alpha values calculated for each observed variable if item
deleted are less than 0.943. Therefore, no variable should be removed from this scale.
For Q2_F3 factor, which is “limitations of the management mechanism in the diversification of financial
resources for transport development”, the research results from the sample show that Cronbach's Alpha
coefficient calculated for 5 observed variables of Q2_F3 factor is 0.795 (Table 7), greater than 0.7. Therefore,

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Chưa đủ ý

it can be concluded that the scale is well-used to measure Q2_F3 factor. The variable correlation coefficient –
the sum of observed variables is greater than 0.4, ensuring the convergence of the scale. Cronbach's Alpha values
calculated for each observed variable if item deleted are less than 0.943. Therefore, no variable should be
removed from this scale.
For Q2_F4 factor, which is “limitations of the human resources in the diversification of financial resources
for transport development”, the research results from the sample show that Cronbach's Alpha coefficient
calculated for 5 observed variables of Q2_F4 factor is 0.530 (Table 8), less than 0.7. Therefore, it can be
concluded that the scale is not well-used to measure Q2_F4 factor. The variable correlation coefficient – the
sum of observed variables is less than 0.4, not ensuring the convergence of the scale. Cronbach's Alpha values
calculated for each observed variable if item deleted are less than 0.943. Therefore, Q2_16 and Q2_17 variables
should be removed from this scale.
3.3.3. Factor analysis of causes of the limitations in diversifying financial resources for transport
development in Hanoi city
Based on Exploratory Factor Analysis (EFA) method, the authors have identified 03 main factors showing
“the causes of the limitations in diversifying financial resources for transport development in Hanoi city”.
However, is the scale of three above groups reliable? To solve this problem, the author uses the method of

assessing the reliability of the scale using Cronbach’s Alpha coefficient for each of the above factors.
3.3.3.2. Results of the evaluation of the scale using the Cronbach’s Alpha coefficient. Causes of the limitations
in the diversification of financial resources for transport development in Hanoi city
For Q3_F1 factor: Due to the current laws are incomplete and inconsistent in separating financial resources
for transport infrastructure development from other development investment activities.
The research results show that Cronbach's Alpha coefficient of Q3_F1 factor is 0.98, greater than 0.7.
Cronbach's Alpha coefficients, if removing variables corresponding to observed variables, are less than 0.98.
The variable correlation coefficient – the sum of observed variables is greater than 0.4. Therefore, the scale is a
good scale and no variable should be removed from this scale.
For Q3_F2 factor: Due to the lack of a model, mechanism and policy to ensure the diversification of
financial resources for transport infrastructure development.
The research results show that Cronbach's Alpha coefficient of Q3_F2 factor is 0.82, greater than 0.7.
Cronbach's Alpha coefficients, if removing variables corresponding to observed variables, are less than 0.82.
The variable correlation coefficient – the sum of observed variables is greater than 0.4. Therefore, the scale is a
good scale and no variable should be removed from this scale.
For Q3_F3 factor: Due to the lack of observing competence and conditions of management boards.
The research results of the sample show that Cronbach's Alpha coefficient of Q3_F3 factor is 0.816, greater
than 0.7. Cronbach's Alpha coefficients, if removing variables corresponding to observed variables, are less than
0.816. The variable correlation coefficient – the sum of observed variables is greater than 0.4. Therefore, the
scale is a good scale and no variable should be removed from this scale.
Thus, the scale of three main factors that reflects the “causes of the limitations in diversifying financial
resources for transport development in Hanoi city” is sufficiently reliable. The impact of observed variables in
each factor group is shown via models with coefficients taken from factor coefficient matrix.
3.3.4. Factor analysis on solutions of diversifying financial resources for current transport infrastructure
development
3.3.4.1. Results of Exploratory Factor Analysis (EFA) on solutions of diversifying financial resources for current
transport infrastructure development
Based on Exploratory Factor Analysis (EFA), the authors have identified 9 main factors showing “solutions
of diversifying financial resources for current transport infrastructure development in Hanoi city”
3.3.4.2. Results of the evaluation of the scale using the Cronbach’s Alpha coefficient.

For F1 factor: Establish a centralized board of financial management for financial resources for the
development of Hanoi city.


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The research results show that Cronbach's Alpha coefficient of F1 factor is 0.942, greater than 0.7. The
variable correlation coefficient – the sum of observed variables is greater than 0.4. However, Cronbach's Alpha
coefficients, if removing variables corresponding to observed variables, Q4_2, are greater than 0.942. Therefore,
it is advisable to remove Q4_2 variable for better measurement.
The reliability of the scale is continued to be re-evaluated and as a result, Q4_3 variable is removed from
the scale. Therefore, the F1 factor will have only two variables: Q4_1 and Q5_1.
For F2 factor: Reinforce the rights and responsibilities of parties in the diversification of financial
resources.
The research results show that Cronbach's Alpha coefficient of F2 factor is 0.884, greater than 0.7.
Cronbach's Alpha coefficients, if removing variables corresponding to observed variables, are less than 0.884.
The variable correlation coefficient – the sum of observed variables is greater than 0.4. Therefore, the scale is a
good scale and no variable should be removed from this scale.
For F3 factor: Enhance mechanism and policies for the diversification of financial resources for transport
development.
The research results show that Cronbach's Alpha coefficient of F3 factor is 0.866, greater than 0.7.
Cronbach's Alpha coefficients, if removing variables corresponding to observed variables, are less than 0.866.
The variable correlation coefficient – the sum of observed variables is greater than 0.4. Therefore, the scale is a
good scale and no variable should be removed from this scale.
For F4 factor: Mechanism to diversify financial resources for transport development.
The research results show that Cronbach's Alpha coefficient of F4 factor is 0.866, greater than 0.7.
Cronbach's Alpha coefficients, if removing variables corresponding to observed variables, are less than 0.866.
The variable correlation coefficient – the sum of observed variables is greater than 0.4. Therefore, the scale is a
good scale and no variable should be removed from this scale.
For F5 factor: Management mechanism of the diversification of financial resources for transport

development.
The research results show that Cronbach's Alpha coefficient of F5 factor is 0.913, greater than 0.7.
However, Cronbach's Alpha coefficients, if removing variables corresponding to observed variables, Q8_4, are
greater than 0.913. Therefore, it is advisable to remove Q8_4 variable for better measurement. Therefore, the
F5 factor will have only two variables: Q8_2 and Q8_3.
For F6 factor: Establish a centralized board of financial management for financial resources for the
transport development.
The research results show that Cronbach's Alpha coefficient of F6 factor is 0.8, greater than 0.7. Cronbach's
Alpha coefficients, if removing variables corresponding to observed variables, are less than 0.8. The variable
correlation coefficient – the sum of observed variables is greater than 0.4. Therefore, the scale is a good scale
and no variable should be removed from this scale.
For F7 factor: Build financial management mechanism for financial resources for the transport
development.
The research results show that Cronbach's Alpha coefficient of F7 factor is 0.803, greater than 0.7.
Cronbach's Alpha coefficients, if removing variables corresponding to observed variables, are less than 0.803.
The variable correlation coefficient – the sum of observed variables is greater than 0.4. Therefore, the scale is a
good scale and no variable should be removed from this scale.
For F8 factor: Establish a financial management corporation of transport infrastructure development
The research results show that Cronbach's Alpha coefficient of F8 factor is 0.271, less than 0.7. The variable
correlation coefficient – the sum of observed variables is less than 0.4. Therefore, the scale is not a good tool to
measure F8 factor.
Since F9 factor, the establishment of a specialized agency, has only one observed variable, the scale
measuring F9 is not reliable. Therefore, Q5_2 variable is removed.

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3.3.4.3. Factor analysis results after eliminating unsatisfactory observed variables in evaluating the reliability
of the scale
In 24 satisfactory standards, measuring “solutions of diversifying financial resources for transport
development in Hanoi city”, 7 main factors are drawn out to assess these limitations. These factors can explain

74.815% of the variability of the data.
3.4. Analyze the current situation of diversifying financial resources for road transport infrastructure
development managed by Hanoi city
3.4.1. Current situation of diversifying financial resources for road transport infrastructure development
from economic sectors
According to the calculations of planners, in order to implement the planning of transport development in
Hanoi from now to 2030, the city will need a capital of about VND 1,235,380.34 billion, in which the capital
for road projects is spent at VND 523,776.98 billion, railway projects (including national railways and urban
railways) at VND 646,524.77 billion, waterway projects at VND 19,750 billion and airports at VND 45,328.59
billion. This is a challenging task for Hanoi in solving the capital problem in developing transport infrastructure.
Table 3.12: Summary of the investment capital for transport infrastructure development in Hanoi
Unit : billion VND
Capital source
2008
2011
2013
2014
2015
2016
2017
State capital
7509.8
12686.7
14597.6
13403
14359.46
16082.57
18997.27
Non-state
2732.50

4205.10
4510.00
4735.05
4782.86
5739.43
1615.00
capital
Source: Collected from the data of Hanoi Department of Transport
In addition, it is necessary to drastically reform the administration at all levels, build a responsible, reliable
and effective apparatus by promoting officers and enhance the technocratic management and accountability.
Improving the investment environment and creating the confidence for investors, businesses and local people as
well as increasing the provincial competitiveness ranking and indicator of administrative reform, education,
healthcare and other services should be also done.
3.4.2. Current situation of diversifying financial resources for road transport infrastructure development by
mobilization forms
3.4.2.1. Mobilization forms for road transport via the state budget
In fact, the amount of budget allocated for regions depends on the level of budget revenues and the
percentage that provinces received. The mobilization of local budgets for road transport infrastructure
development is mostly determined by the advantages of each locatity.
3.4.2.2. Mobilization via the form of “the state and people do it together”
- For the financial resources from the capital contributed by local people: the mobilization amount of
financial resources contributed by local people is spent in road transport infrastructure development of the intercommune, inter-village and internal works in residential areas. The amount is mainly contribued by suburban
residents.
- In suburban areas: based on the mobilization mechanism for the National Target Program to build new
rural area, the contributed capital of rural residents is still at 10% of the total capital source that need to be
mobilized.
3.4.2.3. Mobilization in the form of exchanging land for infrastructure
In 2017, Hanoi issued certificates for investing four road infrastructure projects of 13.303km with a total
capital of VND 5,727 billion. Accordingly, with the investment in the 13.303km road, investors will receive a
total reciprocal land area of 162.71 ha.

3.4.2.4. Mobilization in the form of auction of land using rights
Auctioning land using rights is also a popular method of mobilizing capital in Vietnam, especially in regions
with the high urbanization speed and value of land using rights as Hanoi.


11

12

In 2018, Hanoi city auctioned land using rights in 679 projects (including 666 new projects and 13
transitional projects) with a total area of 193.41 ha, expected to collect about VND 13,710.62 billion. 111
projects are managed by the city government and other 568 small projects (under 5,000m2) are managed by
district governments.
In 2019, Hanoi is expected to auction about 197ha of land at 635 projects (including 618 new projects and
17 transitional projects). The auction is expected to collect VND 15,972.29 billion (including 152 managed by
the city and 483 small projects). The auction plan for 2020 is composed of 453 projects (395 new projects and
58 transitional projects) with a total area of 286.93 ha, expected to collect VND23,855.58 billion. 166 projects
managed by the city and other 287 small projects are auctioned. The total cost for site clearance and constructing
technical infrastructure of auction projects for the period of 2018 – 2020 is expected to be VND 17,518.39
billion.
3.5. General evaluation of diversifying financial resources for transport infrastructure development in
Hanoi
3.5.1. Results
- Hanoi city has exploited the state capital with a specific mobilization mechanism in allocating local capital
for infrastructure in general and road transport in particular with a large proportion, which is increased every
year. The city has created an investment environment to attract the non-state capital budget, especially private
investment for road transport infrastructure development. In addition, it has propagated and promoted the
strength of political organizations in mobilizing local people to contribute to the rural transport infrastructure.
3.5.2. Limitations and causes
3.5.2.1. Limitations

Along with achievements, there are some drawbacks in the process of mobilizing financial resources for
road transport development:
Table 3.15: Summary of limited factors in diversifying financial resources for road transport
development in Hanoi city
Factor/
Observed
variable
Q2_F2

Q2_F1

Q2_F3

Content
Limitations
in
attracting financial
resources
Limitations in the
competence
of
human resources
Limitations
in
specific regulations
to the diversification
of resources

Observed
number

Min

Max

Average

Standard
deviation

162

1.00

4.80

2.6877

.84705

162

1.00

5.00

3.5216

.88351

162

2.40

5.00

4.0420

.46515

The results of evaluating the limitations in diversifying financial resources for transport development in
Hanoi city show that:
For criteria to assess “limitations in organizing activities to attract financial resources for transport
development of Hanoi city”, the average score assessed by surveyed subjects for this factor is 2.69 points.
Therefore, according to opinions of surveyed subjects, activities to attract financial resources for transport
development of Hanoi is not necessarily a big limitation. This factor is specifically assessed as follows:

- “Financial resources of the state for investing in transport infrastructure development in Hanoi city are
low, compared to the development speed” is assessed with an average score of 2.59 points. It shows that the
majority of surveyed subjects disagree with this criterion. 88 surveyed people (about 54.3%) disagree or
absolutely disagree with this criterion.
- “Financial resources from the city budget for investing in transport infrastructure development” criterion
is scored at 3.12 points. It’s clear that the majority agree with this idea. 69 surveyed people (about 37.9%) agree
or absolutely agree with this criterion. However, the number of respondents hesitating about the criterion is 42
people (about 23%). This is considered as a drawback that needs to be solved.
- “The attraction of financial resources from abroad for investing in transport infrastructure development
of the city has not been focused on transport development projects” is assessed with an average score of 2.45
points. For this criterion, 96 surveyed people (59.3%) disagree or absolutely disagree. This is clearly not a
limitation.
- “The attraction of financial resources from enterprises for tranposrt infrastructure investment has not

been focused on key transport works of the city” criterion is assessed with an average score of 2.6 points. 92
surveyed people (56.2%) disagree or absolutely disagree with this criterion. This is not really a limitation.
- “The city’s administrative agencies performing the diversification of financial resources do not have
sufficient expertise to diversify the financial resources for transport development projects” is scored at 2.6
points. 81 surveyed people (50%) disagree or absolutely disagree and 36 people (22.2%) hesitate. Thus, this is
not necessarily a limitation.
For criteria to assess “the limitations in the organization and competence of officers, who are implementing
the diversification of financial resources for transport development in Hanoi city”, the average score given by
the subjects is 3.25 points. Thus, in the opinion of surveyed subjects about this factor, “the limitations in the
organization and competence of officers, who are implementing the diversification of financial resources for
transport development in Hanoi city” should be solved. This factor is specifically assessed as follows:
- “The function of financial allocation is limited due to the recruitment of officers and assistants, who are
working in an administrative and bureaucratic manner” is assessed with an average score of 3.82 points. 121
surveyed people (about 74.7%) agree or absolutely agree with this criterion. This is considered as a limitation
that need to be solved.
- “The cooperation to perform some tasks and the powers of the diversification of financial resources
among ministries /departments /sectors is limited with low quality” is scored at 3.38 points. 109 surveyed people
(about 66%) agree or absolutely agree with this criterion. Thus, this is considered as a limitation that need to be
solved.
- “Projects attracting the capital from enterprises are checked and observed by many management
agencies at all levels for the same content” is rated at 3.75 points. 115 surveyed people (about 71%) agree or
absolutely agree with this criterion. Thus, this is considered as a limitation that need to be solved.
- “The responsibilities of organizations and individuals performning the function of diversifying financial
resources for transport infrastructure development are not clearly assigned” is evaluated at 3.31 points. 78
surveyed people (about 48,2%) agree or absolutely agree and 43 people (about 26.5%) hesitate with this
criterion. Thus, according to surveyed subjects, this is considered as a limitation that need to be solved.
For criteria to evaluate “the limitations in specific regulations for diversifying financial resources for
transport development of Hanoi city”, the average score given by surveyed people is 4.04 points. Thus,
following the opinion of surveyed subjects, “the limitations in specific regulations for diversifying financial
resources for transport development of Hanoi city” is considered as a limitation that should be addressed. This

factor is specifically assessed as follows:
- “There is no specific regulations on the responsibilities to report and explain of agencies assigned to
diversify financial resources for transport infrastructure development of the city to elected bodies (People’s
Council)” is rated at 3.92 points. 134 surveyed people (about 92.7%) agree or absolutely agree with this criterion.
Thus, according to surveyed subjects, this is considered as a limitation that need to be solved.


13

- “The division of the function of diversifying financial resources for transport development within each
state agency is still fragmented and overlapped among departments/divisions” is evaluated with an average
score of 4.07 points. 137 surveyed people (about 84.6%) agree or absolutely agree with this criterion. Thus, this
is considered as a limitation that need to be solved.
- “Lack of specific regulations (mechanism of salary, bonus and remuneration) to motivate organizations
and individuals of the city’s agencies assigned to perform the diversification of financial resources for transport
infrastructure development” is rated at 4.04 points. 144 surveyed people (about 82.7%) agree or absolutely
agree. Accordingly, this is considered as a limitation that need to be solved.
- “Enterprises are restricted to participate in bidding for investment projects on road transport
infrastructure development that are invested by provincial People’s Committee or projects funded by
international organizations” is evaluated with an average score of 4.06 points. 142 surveyed people (87.7%)
agree or absolutely agree. Accordingly, this is considered as a limitation that need to be solved.
- “The function of diversifying financial resources for transport infrastructure development has not been
effective and efficient” is scored at 4.12 points. 139 surveyed people agree or absolutely agree. Accordingly, this
is considered as a limitation that need to be solved.
3.5.2.2. Causes of limitations
The research results of assessment critera about causes of limitations in diversifying financial resources for
transport development of Hanoi city show:
- Causes from organizing the direction and deployment of diversifying financial resources for transport
infrastructure development.
Firstly, the factor, “due to current laws are incomplete and inconsistent in separating financial resources

for transport infrastructure development from other development investment activities”, is assessed by surveyed
subjects with an average score of 3.02 points. Thus, current laws, which are incomplete and inconsistent in
separating financial resources for transport infrastructure development from other development investment
activities, is not necessarily a cause.
- Secondly, the factor that “due to regulations to organize the function of diversifying financial resources
from the state and city are inadequate” is rated at 2.79 points. 80 surveyed people (about 49.4%) disagree or
absolutely disagree and 33 people (about 20.4%) hesitate. Thus, this is not necessarily a cause of limitations in
diversifying financial resources.
- Thirdly, the factor that “financial resources are not separated from investment resources” is scored at
2.97 points, which is a proof that the majority of surveyed people agree with this criterion. 63 surveyed people
(about 38.9%) disagree or absolutely disagree and 30 surveyed people (about 18.5%) hesitate. Thus, it can be
considered that this is not necessarily a cause of limitations in diversifying financial recourses.
- Fourthly, the factor that “the rights and responsibilities have not been united and focused by departments
in the management of investment capital” is rated at 3.24 points. 79 surveyed people (about 49.8%) agree or
absolutely agree and 38 people (about 23.5%) hesitate. Thus, this can be considered a cause of limitations in
diversifying financial resources.
- Fifthly, the factor that “due to the lack of specific regulations on the content of the state management of
financial resources” is scored at 3.31 points. 81 surveyed people (about 50%) agree and absolutely agree with
this criterion. Thus, this can be considered as a cause of limitations in diversifying financial resources.
- Sixthly, “due to the lack of properly assigning and decentralizing to perform the function of managing
financial resources for transport infrastructure investment” factor is assessed with an average score of 2.85
points. 77 surveyed people (about 47.5%) disagree or absolutely disagree and 29 people (about 17.9%) hesitate.
Thus, this is not necessarily a cause of limiations in diversifying financial resources.
- Causes from the development of target programs and plans to diversify financial resources for road
transport infrastructure development
The research results show causes of limitations in diversifying financial resources for transport
infrastructure development from target programs and plans, as follows:

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- Fistly, the evaluation criteria of the factor: “due to the lack of a model and mechanism to ensure the
diversification of financial resources for transport infrastructure development of Hanoi city" is assessed by
surveyed people with an average score of 3.13 points. According to the opinion of surveyed people, the lack of
a model and mechanism to ensure the diversification of financial resources for transport infrastructure
development of Hanoi city is a cause of limitations that need to be addressed.
- Secondly, “Hanoi city has not determined the priority order to objectives and tasks assigned to each
investment project of transport infrastructure development” factor is rated at 3.07 points. 60 surveyed
people (about 37%) agree or absolutely agree and 47 people (about 29%) hesitate. Thus, this is considered
as a cause of limitations in diversifying financial resources.
- Thirdly, “due to the lack of clear regulations on the method of cost account to compensate for projects
invested by the city” factor is scored at 3.05 points. 60 surveyed people (about 37%) agree or absolutely
agree and 51 people (about 31.5%) hesitate. Thus, this is considered as a cause of limitations in diversifying
financial resources.
- Fourthly, “the monitoring and evaluation are mainly based on reports of investment projects on
financial resources. There is not a proper mechanism of evaluation” factor is assessed with an average
score of 3.28 points. 77 surveyed people (about 41.5%) agree or absolutely agree and 48 people (about
29.6%) hesitate. Thus, this is considered as a cause of limitations in diversifying financial resources.
- “The observation has not been focused on financial indicators” factor is rated at 3.09 points. 63 surveyed
people (about 39.9%) agree or absolutely agree and 51 surveyed people (about 31.5%) hesitate. Thus, according
to the assessment of surveyed people, this is considered as a cause of limitations in diversifying financial
resources.
- “The process of observation is difficult to be quantified” factor is evaluated with an average score of
3.18 points. 65 surveyed people (about 40.1%) agree or absolutely agree and 57 people (about 35.2%)
hesitate. Therefore, according to the assessment of surveyed people, this is considered as a cause of
limitations in diversifying financial resources.
To sum up, on the basis of approved projects in the transportation planning in general and the
development of road transport infrastructure in particular, Hanoi city has allocated the capital (the
proportion of budget capital), called for investments (the structures using non-state capital). Based on the
mobilization program, investors resgister for investment. In addition, project programs in the construction
list are sometimes not detailed and suitable with the current situation.

- Causes from the mechanism and legal documents to guide and foster the diversification to attract
financial resources for transport infrastructure development.
- Causes from the implementation of diversifying financial resources for transport infrastructure
development.
Diversifying resources for the implementation of master plans in general and transport development
planning, including road transport in Hanoi is also in the general situation of the country although local
budget and economic potentials feature different advantages.
- Causes from the inspection, observation, evaluation and adjustment of the diversification of
financial resources for road transport infrastructure development
For the criteria of assessing “the competence and conditions of management departments to monitor
are weak for transport development of Hanoi city”, the average score assessed is 3.48 points. Therefore, in
the opinion of surveyed people, “the competence and conditions of management departments to monitor
are weak for transport development of Hanoi city” is a cause of limitations that need to be solved in the
future. This factor is specifically assessed as follows:
- “The process of implementing the function of diversifying financial resources has not been properly
monitored” factor is scored at 3.49 points. 90 surveyed people (about 55.6%) agree or absolutely agree and
45 people (about 27.8%) hesitate. Therefore, in the opinion of surveyed people, this can be considered as a
cause of limitations in diversifying financial resources.


15

- “Representatives, who directly manage financial resources of the city have not been monitored and
evaluated clearly to give out the final results” factor is assessed with an average score of 3.45 points. 89
surveyed people (about 54.9%) agree or absolutely agree and 46 people (about 28.4%) hesitate. Thus, in the
opinion of surveyed people, this can be considered as a cause of limitations in diversifying financial
resources.
- “Database system and information for the management of financial resources are limited” factor is
rated at 3.49 points. 92 surveyed people (about 56.8%) agree or absolutely agree and 46 people (about
28.4%) hesitate. Thus, in the opinion of surveyed people, this can be considered as a cause of limitations in

diversifying financial resources.
It still takes a long time to solve irrationalities. There are cases that are slowly addressed and the
handling is still inconsistent. This reduce the transparency of legal national documents and laws.
CHAPTER 4
DIRECTION AND SOLUTIONS TO FOSTER FINANCIAL RESOURCES FOR TRANSPORT
INFRASTRUCTURE DEVELOPMENT
4.1. Foundations to propose direction and solutions to continue to diversify financial resources for
transport infrastructure development in Hanoi
4.1.1. Development planning for transport infrastructure in Vietnam
The development objectives of the development planning for transport infrastructure is a highlight and a
requirement in the development period of the country. When Hanoi’s transport is developed in that situation
with a highly specific mobilization mechanism for transport infrastructure development, the diversification of
financial resources become an urgent issure.
4.1.2. Socio-economic development strategy of Hanoi city
- Develop the transportation system to create a bridge between Hanoi and neighboring areas, Nothern key
economic regions and trade, tourism and international exchange centers, central cities and satellite urban areas.
- Release the traffic jam and construct a synchronous and modern infrastructure; invest in building public
transport routes such as overhead railways, subways and underground structures.
4.2. Viewpoint of diversifying financial resources for transport infrastructure development in Hanoi
Ensure the openness and transparency in diversifying financial resources for transport infrastructure
development in Hanoi
Ensure the principles of mutual benefits in diversifying financial resources for transport infrastructure
development in Hanoi
Ensure the efficiency in diversifying financial resources for transport infrastructure development in Hanoi
4.3. Solutions to diversify financial resources for transport infrastructure development in Hanoi
4.3.1. Solutions summarized from the research results
The research results following the criteria about solutions to diversify financial resources for transport
infrastructure development in Hanoi show that:
For criteria to evaluate solutions about “the rights and responsibilities of the parties in the diversification
of financial resources”, the average score given by surveyed people is 3.94 points. As a result, in the opinion of

surveyed people, the solutions about “the rights and responsibilities of the parties in the diversification of
financial resources” should be given more attention. This factor is specifically assessed as follows:
- “The level of determining the rights and responsibilities to attract the diversification of financial
resources for transport infrastructure development” is evaluated with an average score of 3.98 points,
which is a proof that the majority of surveyed people agree with this criterion. 138 surveyed people (about
85.2%) agree or absolutely agree. Therefore, this can be considered to be a solution to solve limitations in
diversifying financial resources.

16

- “The level of determining the rights and responsibilities of capital reprentatives in diversifying
financial resources for transport infrastructure development of the city” is rated at 3.88 points, which is a
proof that the majority of surveyed people agree with this criterion. 127 surveyed people (about 78.4%)
agree or absolutely agree. Thus, this can be considered to be a solution to solve limitations in diversifying
financial resources.
- “The level of autonomy and self-responsibility of departments in diversifying financial resources for
transport infrastructure development of the city” is rated at 3.93 points, which is a proof that the majority
of surveyed people agree with this criterion. 130 surveyed people (about 80.2%) agree or absolutely agree.
Thus, this can be considered to be a solution to solve limitations in diversifying financial resources.
- “The inspection and observation of the use of the capital to diversify financial resources for transport
infrastructure development of the city” is scored at 3.97 points, which is a proof that the majority of
surveyed people agree with this criterion. 137 surveyed people (about 84.6%) agree or absolutely agree.
Thus, this can be considered to be a solution to solve limitations in diversifying financial resources.
For criteria to evaluate “the management and use of resources for transport infrastructure development in
Hanoi ciy”, the average score given by surveyed people is 3.99 points. Hence, in the opinion of surveyed people,
the management and use of resources for transport infrastructure development in Hanoi ciy should be given
more attention. This factor is specifically assessed as follows:
- “The inspection and supervision of projects using financial resources for transport infrastructure
development of the city” is assessed with an average score of 3.96 points, which is a proof that the majority
of surveyed people agree with this criterion. 133 surveyed people (about 82.1%) agree or absolutely agree.

Consequently, this can be considered to be a solution to solve limitations in diversifying financial resources.
- “The issue of managing the diversification of financial resources for transport infrastructure
development of the ciy” is evaluated with 3.94 points, which is a proof that the majority of surveyed people
agree with this criterion. 129 surveyed people (about 79.6%) agree or absolutely agree. Accordingly, this
can be considered to be a solution to solve limitations in diversifying financial resources.
- “The management and use of land in diversification management for transport infrastructure
development” is scored at 4.01 points, which is a proof that the majority of surveyed people agree with this
criterion. 131 surveyed people (about 80.9%) agree or absolutely agree. Accordingly, this can be considered
to be a solution to solve limitations in diversifying financial resources.
- “Managing financial resources of members performing the diversification of financial resources for
transport infrastructure development” is assessed with an average score of 4.06 points, which is a proof
that the majority of surveyed people agree with this criterion. 138 surveyed people (about 85.2%) agree or
absolutely agree. Accordingly, this can be considered to be a solution to solve limitations in diversifying
financial resources.
For criteria to evaluate the “mechanism and polices for diversifying the financial resources for transport
infrastructure development in Hanoi city”, the average score given by surveyed people is 2.56 points. Therefore,
in the opinion of surveyed people, mechanism and polices for diversifying the financial resources for transport
infrastructure development in Hanoi city should be given more attention. This factor is specifically assessed
as follows:
- “General assessment of regulations on the diversification of financial resources for transport
infrastructure development” factor is evaluated with an average score of 2.36 points, which is a proof that
the majority of surveyed people disagree with this criterion. 114 surveyed people (about 70.4%) disagree
or absolutely disagree. Thus, this can be considered that it is not necessarily a solution to solve limitations
in diversifying financial resources.
- “Mechanism and policies for diversifying financial resources for transport infrastructure
development of the city” is scored at 3.59 points, which is a proof that the majority of surveyed people agree
with this criterion. 105 surveyed people (64.8%) agree or absolutely agree. Hence, this can be considered to
be a solution to solve limitations in diversifying financial resources.

17

- “Regulations on the authority to decide on the diversification of financial resources for transport
infrastructure development of the city” is evaluated with an average score of 2.15 points, which is a proof
that the majority of surveyed people disagree with this criterion. 127 surveyed people (about 79.6%)
disagree or absolutely disagree. Accordingly, this can be considered that it is not necessarily a solution to
solve limitations in diversifying financial resources.
- “General assessment of the authority to decide on the diversification of financial resources for
transport infrastructure development of the city” is rated at 2.16 points, which is a proof that the majority
of surveyed people disagree with this criterion. 125 surveyed people (about 77.2%) disagree or absolutely
disagree. Accordingly, this can be considered that it is not necessarily a solution to solve limitations in
diversifying financial resources.
For criteria to evaluate the “mechanism for diversifying the financial resources for transport infrastructure
development in Hanoi city”, the average score given by surveyed people is 3.85 points. Consequently, in the
opinion of surveyed people, the mechanism for diversifying the financial resources for transport infrastructure
development in Hanoi city should be given more attention. This factor is specifically assessed as follows:
- “The regulations of the rights to actively mobilize financial resources for transport infrastructure
development for the performing units” is evaluated with an average score of 3.78 points, which is a proof
that the majority of surveyed people agree with this criterion. 114 surveyed people (70.4%) agree or
absolutely agree. Hence, this can be considered to be a solution to solve limitations in diversifying financial
resources.
- “Units, who perform the diversification of financial resources, need to take effective mobilization
projects into consideration to decide” is scored at 3.8 points, which is a proof that the majority of surveyed
people agree with this criterion. 111 surveyed people (78.5%) agree or absolutely agree. Hence, this can be
considered to be a solution to solve limitations in diversifying financial resources.
- “The division and decentralization for the city’s units, especially the rights of attracting financial
resources for transport infrastructure development” is rated at 3.96 points, which is a proof that the majority
of surveyed people agree with this criterion. 128 surveyed people (79%) agree or absolutely agree. Hence,
this can be considered to be a solution to solve limitations in diversifying financial resources.
- “Establishing a specialized agency under the form of financial management board controlled by the

City People’s Committee to perform the rights and obligations of the city” is rated at 3.87 points, which is
a proof that the majority of surveyed people agree with this criterion. 125 surveyed people (77.2%) agree
or absolutely agree. Therefore, this can be considered to be a solution to solve limitations in diversifying
financial resources.
For criteria to evaluate the “management mechanism for diversifying the financial resources for transport
development”, the average score given by surveyed people is 3.66 points. Thus, in the opinion of surveyed
people, the solution of the management mechanism for diversifying the financial resources for transport
development should be given more attention. This factor is specifically assessed as follows:
- “The mechanism of regulating capital in districts and cities” is assessed with an average score of
3.73 points, which is a proof that the majority of surveyed people agree with this criterion. 111 surveyed
people (79.5%) agree or absolutely agree. Hence, this can be considered to be a solution to solve limitations
in diversifying financial resources.
- “The mechanism of mobilizing internal capital in districts” is rated at 3.62 points, which is a proof
that the majority of surveyed people agree with this criterion. 106 surveyed people (75.4%) agree or
absolutely agree. Thus, this can be considered to be a solution to solve limitations in diversifying financial
resources.
- “Approaching venture funds” is assessed with an average score of 3.66 points, which is a proof that
the majority of surveyed people agree with this criterion. 103 surveyed people (73.6%) agree or absolutely
agree. Accordingly, this can be considered to be a solution to solve limitations in diversifying financial
resources.

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- “General assessment of the rights and obligations of all levels and sectors in diversifying financial
resources for transport infrastructure development” is evaluated with an average score of 3.66 points,
proving that the majority of surveyed people agree with this criterion. 100 surveyed people (71.7%) agree
or absolutely agree. Thus, this can be considered to be a solution to solve limitations in diversifying financial
resources.
For criteria to evaluate the solution on “Establishing a centralized management agency of financial
resources for transport development”, the average score given by surveyed people is 3.71 points. Thus, in the

opinion of surveyed people, the solution on establishing a centralized management agency of financial resources
for transport development should be given more attention. This factor is specifically assessed as follows:
- “Promoting different people to unify and focus on the function of financial resource management for
transport infrastructure development (Departments and branches focus on managing financial resources
for transport infrastructure development together) is evaluated with an average score of 3.73 points, proving
that the majority of surveyed people agree with this criterion. 115 surveyed people (81%) agree or absolutely
agree. Accordingly, this can be considered to be a solution to solve limitations in diversifying financial
resources.
- “Establishing a specialilzed agency to perform the rights and obligations of the city organized in the
form of a financial management committee” is rated at 3.7 points, proving that the majority of surveyed
people agree with this criterion. 115 surveyed people (81%) agree or absolutely agree. Accordingly, this can
be considered to be a solution to solve limitations in diversifying financial resources.
For criteria to evaluate the solution on “the mechanism of managing financial resources for transport
development”, the average score given by surveyed people is 3.56 points. Therefore, in the opinion of surveyed
people, the mechanism of managing financial resources for transport development should be given more
attention. This factor is specifically assessed as follows:
- “The number of member companies under the control of provincial departments performing the
diversification activities for transport infrastructure development goes beyond the scale of the investment
for transport infrastructure development of the city” is rated at 3.97 points, proving that the majority of
surveyed people agree with this criterion. 126 surveyed people (77.8%) agree or absolutely agree.
Accordingly, this can be considered to be a solution to solve limitations in diversifying financial resources.
- “The management mechanism of captials is still out-of-date and unprofessional with too many
administrative formalities” is rated at 3.16 points, proving that the majority of surveyed people agree with
this criterion. 52 surveyed people (32.1%) agree or absolutely agree and 74 people (about 45.7%) hesitate.
Accordingly, this can be considered to be a solution to solve limitations in diversifying financial resources.
4.3.2. Solutions to foster the diversification of financial resources for transport infrastructure development
in Hanoi
- Group of solutions on revising and adjusting the traffic development planning, creating a premise for
solutions to diversify financial resources for transport infrastructure development
- Group of solutions on establishing an organizational structure of direction and implementation of the

diversification of financial resources for transport infrastructure development
- Group of solutions on building target programs and plans to diversify financial resources for transport
infrastructure development
- Group of solutions on building a system of mechanisms and policies to attract financial resources for
transport infrastructure development
- Group of solutions on organizing the diversification of financial resources for transport development
+ For financial resources from the state budget:
Issues related to the state budget include:
(1) Actively exploit additional resources for the state budget, including the capital from the construction of
transport infrastructure that has been collected from the revenue of land renting difference of the newlybuilt roadside land.


19

(2)
Actively allocate according to the plans and schedule, whereby the mobilization of other capital
sources are favorable because the state budget is to attract other sources, to create a land fund for constructing
transport infrastructure in the site clearance and to invest in other initial articles.
- Mobilizing financial resources form foreign invested economy.
In order to successfully attract foreign capital to invest in transport infrastructure development of Hanoi, its
City Party and People’s Committee need to build reasonable and stable strategies on the basis of the current
situation of Hanoi and domestic and foreign market information.
+ For financial resources from privates and local people
- Mobilizing the capital through the form of “the state and people do it together”
- Mobilizing the capital through the form of exchanging land for infrastructure
- Mobilizing the capital through the form of auctioning land using rights
- Solutions on enhancing the inspection the diversification of financial resources for transport development
in Hanoi
Improve the effectiveness of internal control and audit; effectively manage the project management staff,
especially raise the competence of evaluating and appraising projects as well as ethics of officials, public

servants and employees.
- Foster the professionalism and transparency of the stock market and commercial banks in order to
increase the opportunities to access capital for investors in transport infrastructure development in Hanoi.
Capital and credit market are considered as the most effective capital mobilization channel, both in the
width and depth, with the main participation of commercial banks and financial organizations. Currently,
commercial banks and financial organizations play an extremely significant role in providing captial for
investors in transport infrastructure development.
CONCLUSION
Diversifying financial resources for transport development is mechanisms, policies and solutions to attract
and mobilize the capital from different sources in the society to invest in transport infrastructure development in
a period in order to satisfy the requirements of socia-economic growth in each country, locality, territory and
even in every business establishment. Diversifying investment capital sources, including the investment of
transport infrastructure development, is a long-term economic and social task. Therefore, it needs to be done by
the state management organizations, local people and economic establishments in a synchronous way to bring
the most effective results.