Vietnam Seeks More Japan ODA for Infrastructure Development Projects

Vietnam wants to receive more supports from the Japanese government to develop its infrastructure system, Deputy Minister of Transport Nguyen Hong Truong said at a recent seminar in Hanoi. The Dau Tu newspaper cited Truong as saying that Vietnam will use the funding for some section of North-South expressway, urban railways in two biggest cities of Hanoi and Ho Chi Minh. At the seminar, Truong also proposed 29 major transport projects which are expected to receive supports from Japan in 2012-2015. They include Nhat Tan bridge, Lach Huyen seaport, Danang-Quang Ngai expressway and Ben Luc-Long Thanh expressway. Many projects in the fields of health, irrigation, finance, power, petrol and others were submitted at the event. Sharing with the Vietnam’s desire, Japanese Ambassador Yasuakia Tanizaki said that the Japanese government will support a comprehensive way for Vietnam to achieve the objective of becoming an industrialized country in 2020. However, to continue to receive support from Japan, Vietnam should effectively use ODA, as well as build strategic infrastructure development. “It will not only ODA for infrastructure development, but also the source of private investment,” he said. Related to this issue, Motonori Tshuno, JICA chief representative in Vietnam, said Japanese investors are very interested in the cooperation in public-private-partnership (PPP) model in Vietnam’s infrastructure development. Japan is considering to provide ODA for the urban railways in Hanoi, Cai Mep-Thi Vai port and O Mon Power Plant. It is conducting pre-feasibility study for 13 PPP projects in Vietnam such as Long Thanh airport, Phap Van-Cau Gie expressway and Trung Luong-My Thuan expressway. Tshuno noted that ODA is limited, so calling for investment from Japanese investors is very important. However, slow site clearance and low power price are hindering these companies. (baodautu.vn May 2)