Activities

The water table about funding for Vietnam

Monday, 04/06/2012, 14:18 GMT+7

Consultative Group meeting of donors for Vietnam (CG) between the period this year was particularly interested in following the Danish ODA to third stop sign project mistakes.

As mid-year session, the meeting place for 2 days (4-5/6) in Quang Tri will likely not change ODA resources - capital commitments at $ 7.4 billion for Vietnam in year today. Government representatives will work with donors to assess the implementation of the project, the macroeconomic environment of Vietnam, especially topics related to the objectives of the 2012 funding boost economic restructuring and poverty reduction.

Mid-term CG meeting that the views of the ODA for Vietnam. Photo: BHT
Mid-term CG meeting that the views of the ODA for Vietnam. Photo: BHT

However, even ahead of this meeting, the Danish claim to stop ODA to 3 projects related to combat climate change due to errors in doubt do not use capital from public as well as making the community donor attention. Therefore, although not in the official program, but the voice of stakeholders on the case will most likely affect the donor's perspective, especially when these funds tend to narrow when the economy has entered the middle-income threshold.

ODA commitments for Vietnam for the period 2005 - 2012

Year 2005 2006 2007 2008 2009 2010 2011 2012
ODA 3.7 4.4 5.4 5 5.9 8 7.9 7.4

(Unit: billion. Source: MPI)

Besides using capital story, this conference will also be opportunities for donors to raise views on macroeconomic issues in Vietnam last time, which is considered the many changes but also many challenges.

Exchange during a press conference ahead of the conference, representing the World Bank (WB) - the largest multilateral financing for Vietnam - appreciated the successful implementation of Resolution 11 of the Government, with the result specific inflation is reduced to a figure in May (in years). Yet, the World Bank warned that Vietnam's GDP this year will be only 5.7% (compared to the target from 6 to 6.5% by the Government), along with difficulties in production and business community industry.

In this context, several proposals have been representatives of the donors presented at the Vietnam Business Forum (VBF) in late May this year. Accordingly, the request must accelerate economic restructuring, especially the state sector enterprises and banks. The suggestions and similar solution will be further discussed at this CG.

According to tentative plans, the conference will be officially opening the morning 5/6. Today (4/6), representatives of donors will be field trips at a number of projects using ODA capital and implement a number of workshops on the sidelines before participating in official session tomorrow.


Written : Nhật Minh