WB Signs US$150 Mln Deal to Help Vietnam Economy

Acting Country Director of the World Bank in Vietnam, Martin Rama and Governor of the State Bank of Vietnam, Nguyen Van Giau July 29 signed a US$150 million credit agreement to support Vietnam’s economy and its poverty reduction program.

 

The long-term credit is of great importance to Vietnam at this difficult time as its trade deficit remained widened and ups and downs at the global market, Martin Rama said at the signing ceremony in Hanoi.

 

The credit agreement will be valid for 40 years and 10 years of grace with zero interest, which is part of a soft loan package of US$370 million to be funded by 12 other donors such as the Asian Development Bank, Japan, EC, France, Germany, the U.K., Australia, Canada, Denmark, Ireland, Spain and the Netherlands.

 

Launched early this year, the poverty reduction support credit program 7 will focus on business development, social integration, natural resources management, and administration governance.

 

The WB also pledged US$5 billion for Vietnam through the International Development Agency (IDA) and the International Bank for Reconstruction and Development (IBRD) in the next three years.