The municipal People's Committee has approved the investment policy for the project, which will also improve the environment and urban landscape in An Hoi Tay and An Hoi Dong wards.
The project will upgrade about 1.3 km of Cau Cut Canal between the Cau Cut 1 and Cau Cut 2 culverts.
Roads, drainage systems, lighting and greenery will also be built along the canal to improve connections between existing residential areas.
The project, funded by the city budget, will be implemented by the HCM City Urban Infrastructure Management Board at a total cost of VND 2.3 trillion.
It is scheduled to run from 2026 to 2029. Preparatory work, including investment approval, feasibility studies, site clearance, detailed design and contractor selection, will be carried out in the 2026-2027 period, alongside the start of construction.
Site clearance and construction will continue in the 2028-2029 phase before the project is completed and put into operation.
Cau Cut Canal provides drainage for several roads, including Le Duc Tho and Le Van Tho.
Its channel has gradually narrowed as homes have been built close to its banks, reducing drainage capacity and contributing to frequent flooding on nearby roads.
The project is expected to improve drainage, address water pollution caused by household waste and untreated wastewater, dredge and restore the canal's flow and improve the surrounding environment.
