ADB to arrange $1.3b for Vietnam

So far, Vietnam had about 100 projects and programmes using capital from Asian Development Bank (ADB) with a total investment of nearly $10 billion, of which, signed projects reached about $6 billion.

At the press conference of the 44th ADB annual meeting held on late May 2, in Hanoi, State Bank of Vietnam (SBV)’s governor, Nguyen Van Giau, said during 18 years after the resumption of relations with ADB since 1993 so far, Vietnam has had about 100 projects and programmes using capital from ADB with a total capital of nearly $10 billion, of which, signed projects reached about $6 billion.

In the following years, ADB will arrange about $1.3 billion for Vietnam and speed up the public-private partnership (PPP) model.
Additionally, ADB will also help Vietnam in projects in different sectors, especially in financial and banking sectors. At the same time, ADB would make an important contribution to the policy scheme of Vietnamese government.

By 2020, Vietnam’s target is to bring GDP per capita to $3,000-3,200. During 2011-2015 period, ADB plans to support about $1.5 billion credit per year for Vietnam to meet the demand on socio-economic development.

Haruhiko Kuroda, ADB’s chair, said Vietnam is a very strong partner for the development of the region.

Vietnam’s inflation would lessen from May.

As forecasted by ADB, from May, Vietnam’s inflation will decrease. Konishi attributed the country’s high inflation in April partly to the way of calculating the inflation according to the base year. In last April, Vietnam’s inflation remained low.

Konichi recommended Vietnamese government needs to pursue and maintain the implementation of the Resolution No 11 because according to this resolution, although there will be a trade-off for the growth, as well as responses from enterprises amidst difficult credit conditions, for long term, this solution would bring good results.

The macroeconomic policies including tightening monetary policy should have more time. We can not expect an immediate effect because these policies will have a lateness of at least one month, he added.

During this year ADB annual meeting, inflation will be one of the key issues being given to discuss for the settlement.

Also at the press conference, the central bank’s governor said that till April 27, the country’s credit growth was 5.63 percent. – Vietbiz24

Posted by VBN on May 5 2011. Filed under Banking-Finance. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry