Vietnam MoT Seeks $205M More for WB-funded Infrastructure Project

Vietnam’s Ministry of Transport has proposed to the government to provide additional $205 million for transport infrastructure development project using loans from the World Bank and non-refundable loans from the Australian government. With the additional fund, the project is expected to upgrade 253 kilometers of waterway corridor No. 2 to link the center of Mekong Delta region with Can Tho city and Ho Chi Minh City. If approval, the WB5 project will have a total investment of $517 million and is slated for completion end-2015, the state-run Dau Tu newspaper reported Feb 6. The WB, which is among the biggest donors for Vietnam, has pledged around $2 billion in official development assistance (ODA) for 2012 and also announced to finance over $6 billion for the country in the 2011-2013 fiscal years. Meanwhile, the Australian government pledged AUD138 million in ODA for Vietnam in 2011-2012. Australia’s aid program aims to assist Vietnam to achieve its objectives in strengthening human resource development, economic integration and improving infrastructure, and environmental sustainability. (Dau Tu –Investment Feb 6 p2)