Minister of Planning and Investment Vo Hong Phuc and Japanese Ambassador to Vietnam Mitsuo Sakaba signed diplomatic notes on October 26 on Japan’s ODA grant to Vietnam for the 2009 fiscal year.

The Japanese ODA-funded Can Tho Bridge.

The diplomatic note officially marks the resumption of Japan’s ODA grant to Vietnam, since it was halted in late 2008. In March 2009, the Japanese government resumed new grants to Vietnam.

In the most recent grant, Japan committed to provide official development assistance (ODA) for five projects, totaling JPY65 billion ($650 million), including projects developing small-scale infrastructural facilities for the poor, improving the effectiveness of energy use and recycling, assisting small and medium businesses, building the road to Can Tho Bridge and the Thai Binh thermo-power plant and power transmission network project.

According to the Japan International Cooperation Agency (JICA), Japan is considering a second ODA grant to Vietnam for the 2009 fiscal year. The Japanese government will supply an urgent loan and loan for hunger eradication and poverty reduction in Vietnam, worth JPY55 billion.

Japan’s total ODA grants to Vietnam, therefore, will increase remarkably compared to JPY100 billion committed in 2008.

JICA also said that the Can Tho bridge and the road to the bridge will complete in late March 2010. At Vietnam’s request, Japan provided two ODA loans totaling JPY33.24 billion to these projects in March 2001.

XL