WB to Lend $710M for Three Development Projects in Vietnam

The World Bank (WB) will provide $710 million for Vietnam to carry out three projects on public investment reform, irrigation and urban water supply, state media reported Thursday. The agreement to this effect was signed by the State Bank of Vietnam and the WB in the capital city of Hanoi on July 13. The funding will go to the second Public Investment Reform Program (PIR2) Development Policy, the water resource management project serving development of Mekong Delta and the urban water supply and sewage project. WB Country Director in Vietnam Victoria Kwakwa, the funding aims to strengthen the efficiency of public investment, provide clean water for residents and improve their adaptability to climate change. The Urban Water Supply and Sewage Project – Phase 1 will use the WB loan of $200 million to improve water supply systems in seven provinces, namely Quang Ninh, Ninh Binh, Quang Nam, Kien Giang, Lam Dong, Binh Duong and Binh Phuoc. It also aims to improve wastewater treatment in seven localities, including Ninh Binh, Nghe An, Thanh Hoa, Quang Tri, Quang Nam, Lam Dong and Binh Phuoc. The $350 million PIR 2 will focus on checking the environment for infrastructure investment projects using public capital sources, project supervision and assessment, and public finance management. The remaining $160 million will be granted to the water resource management project serving the rural development of the Mekong Delta. The project aims to raise the efficiency of using water resources in the region, increase agricultural productivity and improve clean water supply for rural households.
The WB, which is among the biggest donors for Vietnam, has pledged around $2.6 billion in official development assistance (ODA) for Vietnam this year and also announced to finance over $6 billion for the country in the 2011-2013 fiscal years. (Tuoi tre – Youth Jul 14 p2, Thoi bao Ngan hang – Banking Times Jul 14 p2, vietnamplus.vn Jul 13)