HCMC metro's real profit is better quality of life

HCMC Urban Railways No. 1 Company, the operator of the Ben Thanh – Suoi Tien metro line, last week posted a loss of VND142 billion (US$5.3 million) in the first six months, which it described as a "temporary" financial issue that would be resolved by year-end.

The metro only started full operations in late December 2024 and began selling tickets in early 2025. Daily ticket revenue is about VND650 million ($25,000), not including the free-fare period.

Passengers at Rach Chiec Station of HCMC's Ben Thanh - Suoi Tien metro line in December 2024. Photo by VnExpress/Quynh Tran

Before the launch, many feared the metro would sit empty. The opposite happened.

I take the metro to work every day and often have to leave early to avoid the crowds, even though I board at the second station from the Suoi Tien end.

People in Bien Hoa outside HCMC and the city's eastern districts such as Thu Duc and the former District 9 now can escape the constant traffic jam on Vo Nguyen Giap Road, the bottleneck at the MK intersection, Binh Thai, and the Rach Chiec bridge.

That is why I believe metro systems, and public transit as a whole, always generate returns. The returns simply do not appear in financial statements. They appear in a city's improved quality of life.

Cities keep building urban rail because no other mode of transport delivers the same value. A metro line moves tens of thousands of people a day, eases pressure on roads, cuts congestion, and improves air quality.

One single train carries nearly a thousand passengers, which means hundreds of cars and thousands of motorcycles stay off the street. Saving thousands of commuters from half an hour in traffic each morning is already an economic gain. Public transit yields profit in the form of a better life.

That said, we should not assume public transit must always lose money. The real question is whether we have tapped its full potential.

If we treat the metro as a transport-commerce ecosystem, it can sustain itself.

The extra revenue lies in the commercial space inside the stations. Tens of thousands of daily riders create a steady flow of customers for convenience stores, coffee counters, travel services, and small kiosks.

Station space is a mini mall, and income from leasing units or selling ad placements is a resource that must be used well.

Less than a year in, the metro’s benefits are already real — for many passengers, including me.