The World Bank’s Board of Executive Directors on September 15, 2005 approved three credits to Vietnam for a total value of US$225 million to help bring water and sanitation facilities to rural villages, prevent natural disasters to save lives and property, and improve the way the government provides information to its citizens.
The first two projects, Red River Delta Rural Water supply project and Natural Disaster Risk Management project, are funded through the World Bank’s adaptable program loans (APLs). This lending instrument provides phased support for long-term development programs, involving a series of loans that build on lessons learned from previous projects.
Rural Water
The $45.8 million credit for the Red River Delta Rural Water Supply and Sanitation Project will support the first phase of a Vietnam Rural Water Supply Program. It will help extend access to treated water for 800,000 people and will enable some 600,000 people to have hygienic toilets and improved drainage. It will also help establish Rural Water Supply and Sanitation Enterprises as consumer-responsive planning and implementing entities for water and sanitation services that are financially, technically and environmentally sustainable, thereby contributing to poverty alleviation in participating communes. The project will support initiatives in four provinces – Hai Duong, Nam Dinh, Ninh Binh, and Thai Binh.
Natural Disaster
The $86 million credit to finance the first of the two-phased of the Natural Disaster Risk Management program aims to save lives and protect houses, roads, bridges and other assets, particularly of poor communities living in hazard prone areas; and to improve the efficiency of long-term reconstruction efforts. This would be achieved through the provision of funding for: structural and non-structural investments to mitigate the impact of recurring natural disasters; rehabilitation of damaged infrastructure in the aftermath of natural disasters; and capacity building of national and local institutions in preparedness, response, and long-term recovery.
Information & Communication
The third credit of $93.7 million will finance the Information and Communication Technology Development (ICT) project which is expected to bring greater availability of and access to information about government policies, services and procedures. The project will increase the effectiveness, transparency and accountability of government agencies, contribute to better provision of public services, while effectively combating corruption.
This project will also improve the ability of citizens, businesses and the public in general, to participate in the information society from a civic or professional perspective. The project comprises three main components: leadership in ICT and modernization of the Ministry of Post and Telematics; modernization of the General Statistics Office, and E-applications for the municipalities of Hanoi, Danang and Ho Chi Minh City.
Source: World Bank