Japan urges Vietnam to speed up ODA disbursement

Created 19 October 2018
  • PDF
Editor Choice
(0 votes, average 0 out of 5)

Japan is concerned about ‘serious’ delays in disbursement of funds for major official development assistance (ODA) projects in Vietnam.
Japan urges Vietnam to speed up ODA disbursement

The Japan International Cooperation Agency (JICA) said in a statement on Wednesday that there was undue delay in multiple ODA projects in Vietnam, including one section of the Ho Chi Minh City Metro line, two sections of the Hanoi Metro line and the Maritime Safety Capability Improvement Project.

These delays were happening because of the public debt cap of 65 percent of the GDP that the Vietnamese government has set; as well as other policies issued in recent years to control public debt, JICA said.

The disbursement delay in ODA projects, including those funded by JICA, “is becoming more serious,” it added.

The Japanese government has had high-level discussions with its Vietnamese counterpart about budget allocation this year and there has been “apparent improvement,” JICA said.

But Vietnam still needs to allocate more funds for major projects that need capital such as the HCMC Metro line and other projects under the management of the Ministry of Transport, it added.

“We hope that the Vietnamese government will soon come up with a solution.”

In another statement last month, JICA had affirmed that Vietnam could continue receiving Japanese ODA loans for several decades to come, until the country’s gross national income (GNI) per capita income exceeds $12,235.

Last year, this figure was $6,450, up 6.3 percent year on year.

JICA granted 39.5 billion yen ($350.7 million) in ODA funds to Vietnam in the first six months this year, and 23.4 billion ($207.6) from April to September.

Source: VNE

Maybe You Also Interesting :

» Binh Thuan struggles with untreated coal ash

Over four million tons of untreated coal ash and slag, discharged from thermal power plants in the south-central coastal province of Binh Thuan, pose serious...

» Vietnam is second most optimistic country in Q3: Nielsen

With a nine-point increase over the second quarter of 2018, Vietnam’s consumer confidence level has reached the decade-high level, placing the country in the...

» A look back at H’Hen Nie’s journey throughout Miss Universe 2018

H’Hen Nie, the Vietnamese representative at Miss Universe 2018, has left a fantastic impression on viewers during the beauty pageant in Thailand.

Popular News Categories:

- Asia & Asean  |  EU & Russia  |  America

- Facts  |  Urban  |  Faculty  |  Environment

- Business  |  Finance  |  Market Health

- Destination  |  Cuisine  |  Arts Music

- Cinema  |  Soccer  |  Sports  |  IT & Internet