Can you provide details on Japan's ODA supply to Vietnam in 2009 ?

Basing on total ODA package of 83.2 billion yen ($850 million) signed in March and the second one of 64.9 billion yen ($675 million) that will signed between Japanese government and Vietnam in this October, the committed ODA amount of Japan for Vietnam in 2009 totals at $1.5 billion. On July 31, through the meeting with Vietnamese minister of Planning and Investment Vo Hong Phuc, I presented Japan's point of view about the ODA packages.

The second ODA package of Japan is mainly for supporting Vietnam's SMEs in energy saving, renewing and developing energy and infrastructure in poor areas. Clearly, total value of both aid packages surpassed 2007's recorded figure.

In addition, Japanese government is considering another ODA item for this December. Currently, two countries are discussing and Japan plans a Poverty Reduction Support Credit Programme (PRSC) under the cooperation with World Bank and Asian Development Bank (ADB).

Why did Japan decide to provide such a high aid to Vietnam ?

There are two main reasons. First, to develop Vietnam-Japan relation, the highest priority is to develop the infrastructure as well as improve Vietnam's investment environment. Japanese government appreciates Vietnam as its important economic partner. However, in the current period, Vietnam is not enough strong to grow, so Japan has enhanced financial assistance for Vietnam with an expectation to help Vietnam become a more important commercial partner. Now Japan and Vietnam are strategic partners.

Second, helping Asian economies including Vietnam in the context that the world's economy is in difficulties will push up the global recovery in general.

What does Vietnam need to commit in the implementation of Japan's ODA ?

Japanese government and Vietnam committed to use the assistance money transparently and efficiently.

Tuoi Tre - September 10, 2009