WB Okays $522M Credit for Development Projects in Vietnam

The World Bank (WB) has approved a total of $522 million in credit for three projects to develop urban, energy, and forest sectors in Vietnam, state media reported, citing a WB’s press release.  Of the sum, $292 million will go to the Mekong Delta Region Urban Upgrading Project; $200 million for the Second Power Sector Reform Development Policy Operation; and the rest for the Forest Sector Development Project.
“The approval of the three operations demonstrates the continued strong partnership between Vietnam and the WB,” said Victoria Kwakwa, Country Director for Vietnam
She said these credits help address emerging challenges such as rapid urbanization, the need for an efficient power sector to meet the country’s rapidly growing demand for power to support rapid growth, and the importance of sustainable management of the national forest resources to help move rural communities out of poverty.
The Mekong Delta Region Urban Upgrading Project will improve infrastructure and services for more than 1.5 million people in the cities of Can Tho, My Tho, Cao Lanh, Ca Mau, Rach Gia, and Tra Vinh.
The Second Power Sector Reform Development Policy Operation is one of three policy operations that support the government in implementing reforms in the power sector to facilitate and promote effective competition in power generation; transparency and predictability in electricity pricing and tariffs; encourage investment in power generation; and implement programs and incentives for efficient use of electricity.
The Forest Sector Development Project aims to promote sustainable smallholder plantation forestry to help raise rural incomes and support biodiversity conservation across Vietnam’s priority conservation areas.
The project supports the National Forestry Strategy through restoring and increasing forest cover, promoting market-based approaches to forestry, increasing roles and responsibilities of local forest owners, strengthening protected areas management and conserving biodiversity with the involvement of local communities. (Saigon Giai Phong Mar 25, nhandan.org.vn Mar 25, vietnamplus.vn Mar 24)