The Japan International Cooperation Agency (JICA) will fund JPY18.3 billion ($203.6 million) to Vietnam’s infrastructure upgrade and water environment improvement projects, the Vietnam News Agency said. Under the two agreements signed between the JICA and the Vietnamese Ministry of Finance on May 27, JPY14 billion will be used for the East-West Corridor project with construction slated to finish next year. The rest of JPY4.3 billion is set for building the Binh Hung Waste Water Treatment Plant, which is a major component of the Ho Chi Minh City Water Environment Improvement project. The plant is the largest of its kind in Vietnam. The loan has raised the total Japanese official development assistance (ODA) commitments to Vietnam to JYP1.4 trillion ($1.56 billion) in the fiscal year of 2010, the news agency added. JICA has also financed Ho Chi Minh City’s Metro No. 1 project or Ben Thanh - Suoi Tien route. Japan is now the largest bilateral donor of Vietnam with roughly $16 billion committed to the country, accounting for one third of Vietnam’s pledged ODA. At the Consultative Group Meeting held in Hanoi on December 3-4 last year, Japan pledged to provide Vietnam with $1.64 billion in ODA this year.
