The Vietnamese government will subsidize maximum 50% the cost for each project on improving the environment at seriously-polluted craft villages under the newly-issued government circular. According to the circular on budget allocation for the National Target Program on Pollution Mitigation and Environmental Improvement for the 2012-2015 period, the maximum support level will also be applied for projects that deal with pollution in areas severely contaminated by pesticide residues. The government will subsidize 20% the cost of wastewater treatment and collection at urban areas at grade 2 in the basins of Nhue-Day, Cau and Dong Nai rivers. Untreated garbage and wastewater from industrial production and local households are rampant in Vietnam due to lax control and legal loopholes in handling environmental violations. An increasing number of foreign enterprises have been found discharging toxic waste and wastewater into the environment in Vietnam, experts said, blaming lenient fines and lax control for their repeated infractions. Environmental pollution remains an obstacle for Vietnam’s socioeconomic development. The country has lost at least 1.5%-3% of its gross domestic product (GDP) to environment pollution, experts noted. (Cong An Nhan Dan – People’s Police Oct 23 p1, baodientu.chinhphu.vn Oct 21)