Vingroup has announced the signing of a memorandum of understanding (MoU) with the government of Telangana for a proposed investment of $3 billion, to be implemented in a phased manner for developing a multi-sector ecosystem in the state.
Vingroup said in a statement on Tuesday that under the MoU, both parties will collaborate to explore strategic opportunities across key sectors such as smart urban development, electric mobility solutions, healthcare, education, tourism, renewable energy, charging infrastructure across approximately 2,500 hectares in Telangana, as well as electric taxi services, with the overall objective of advancing the state’s socio-economic development and long-term growth vision.
This MoU also marks a significant milestone in Vingroup’s global expansion and reinforces the stature and capability of one of Vietnam’s leading multi-sector corporations on the international economic stage.
In electric mobility, Vingroup proposes to introduce India’s first large-scale electric taxi fleet and mobility-as-a-service platform using VinFast vehicles through GSM in the State of Telangana, and may explore potential opportunities associated with EV manufacturing initiatives in the future.
In urban development, Vingroup plans to develop the Vinhomes Smart City mega urban area designed for approximately 200,000 residents on a 1,080-hectare site.
The project is expected to generate around 10,000 jobs and will feature a balanced mix of low-rise and high-rise developments, international-standard amenities, a limited built-up footprint, and sustainable urban planning principles.
In social infrastructure, the group proposes to develop essential facilities on a planned land area of approximately 70 hectares, including Vinschool’s integrated K-12 education system, Vinmec international-standard multi-specialty hospitals and the V-Green electric vehicle charging network.
In tourism and entertainment, Vingroup through VinWonders aims to develop an integrated complex that includes a theme park, zoo, and safari across approximately 350 hectares, enhancing Telangana’s tourism infrastructure and creating large-scale employment.
In renewable energy, Vingroup through VinEnergo proposes to invest in a 500 MW solar farm over an area of approximately 500 hectares to provide a stable source of green electricity for urban areas, industrial zones and the entire electrified mobility ecosystem.
In addition to these initiatives, Vingroup also proposes to participate in the development of strategic connectivity infrastructure to strengthen regional linkages and enhance the capacity for urban spatial development.
On the government side, Telangana commits to supporting the identification and facilitation of land allocation for each project, coordinating in master planning and project structuring, assisting with administrative procedures and mobilizing relevant agencies to prepare the necessary connecting infrastructure.
The state government will also consider the application of incentives in line with existing policies and will work closely with Vingroup throughout the research and implementation stages to ensure project progress and effectiveness.
The MoU between Vingroup and Telangana establishes a foundation for realizing large-scale investment projects that will directly contribute to Telangana’s economic growth while strengthening the international presence of Vietnamese enterprises.
The partnership also supports the broader economic relationship between Vietnam and India, fostering stronger business community ties and opening opportunities for deeper cooperation in the future.
“The $3 billion investment by Vingroup is a massive vote of confidence in the ‘Telangana Rising’ vision, particularly our focus on sustainable urban development and green infrastructure,
“This is more than capital; it’s a partnership to build a futuristic, net-zero city and introduce India’s first large-scale electric taxi fleet, directly improving the quality of life for our citizens. Our government guarantees accelerated execution to ensure this global vision becomes a local reality,” said Sri A. Revanth Reddy, Chief Minister, Government of Telangana.
Sri D. Sridhar Babu, Industries Minister, Government of Telangana, said Vingroups multi-sectoral commitment, spanning smart cities, solar power, and advanced social infrastructure like hospitals and schools, demonstrates the stability and breadth of Telangana’s industrial policy.
“We are committed to translating this significant capital inflow into local opportunity, positioning Telangana as the gateway for Vietnamese and South-East Asian investment into Indias fastest-growing economy,” he added.
Sanjay Kumar, IAS, Special Chief Secretary to the Government, Government of Telangana said they welcome Vingroup’s presence in Telangana and recognize the achievements the group has made in Vietnam, particularly in urban development, green infrastructure and electrified transportation.
“With the group’s extensive expertise and capability to large-scale projects, we believe that this cooperation will mark an important step forward in shaping a modern and sustainable urban landscape and improving the quality of life for the people of Telangana,” he added.
Pham Sanh Chau, Chief Executive Officer of Vingroup Asia and VinFast Asia, stated Vingroup sees tremendous potential in Telangana and the firm aspires to build a long-term partnership with the state government.
“With our proven track record in delivering mega urban developments, large-scale infrastructure and a comprehensive electric mobility ecosystem, we believe that our collaboration with Telangana will generate tangible value, promote sustainable development and enhance the quality of life for local residents,” he added.
Telangana is a key state of India with a population of approximately 38.5 million people.
As a major technology and economic center of Southern India, Telangana attracts global investors thanks to its dynamic business environment and strong development potential, especially in the software sector.
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