The World Bank has approved four loans worth 456,5 million US dollar (2,74 milliarder DKR) to support Vietnam’s development efforts, the State Bank of Vietnam said Monday.
The interest-free credits (rentefrie lån) are all provided by the International Development Association (IDA), the part of the World Bank that helps the world’s poorest countries, the Vietnam News Agency said.
Of the sum, the World Bank will fund 180 million dollar to a project to help Vietnam develop a model for a higher education system that is innovative and of high quality as well as geared towards developing marketable skills for young people entering the labor market.
The WB will also spend 150 million on the 9th Poverty Reduction Support Credit, which is the fourth in a five-year cycle aimed to support the implementation of the socioeconomic development plan. This credit aims to continue the reforms needed to transform Vietnam from a transition economy to a middle-income country.
Another sum of 100 million will be used to assist Vietnamese government agencies with capability building to plan and prepare public investments efficiently and ensure international quality standards.
The final credit of 26,5 million dollar will be used to provide additional financing for the System Efficiency Improvement, Equitization and Renewable Project in Vietnam.
The latest loans will bring total World Bank lending to Vietnam in the fiscal year ending June 30 2010 to 2,13 billion dollar.
The World Bank said that although Vietnam has a high current account deficit – spending more on imports than it earns from exports – this is more than compensated for by inflows of capital.
Foreign direct investment, aid disbursements, portfolio investment flows and remittances have all increased, an official at the State Bank of Vietnam said on Thursday.
Kilde: www.worldbank.org
