Vietnam Allocates $829M for National Poverty Reduction Program in 2016-2020

Vietnam has allocated VND19.23 trillion ($828.9 million) for the national poverty reduction program (Program 135) in 2016-2020, according to the government’s Committee for Ethnic Minority Affairs. Besides, localities have mobilized resources to support extremely difficult villages and communes. As of the end of 2019, 125 communes in 29 provinces and 1,298 villages in 39 provinces had fulfilled the targets of Program 135. Such communes and villages will not receive support from Program 135 in 2020 and the next years, per the Prime Minister’s Decision 03/2019/QD-TTg dated January 15, 2019. However, many localities have proposed the government continue supporting them. The Committee for Ethnic Minority Affairs has sought opinions from ministries on the issue and has received consensus from the Ministry of Finance (MoF), the Ministry of Planning and Investment (MPI), the Ministry of Labor, War Invalids and Social Affairs (MoLISA), and the Ministry of Agriculture and Rural Development (MARD). Therefore, the committee proposed the Prime Minister keep the allocation for 2020 to continue supporting such localities. Vietnam is targeting to lower the rate of poor households by between one percentage point (ppt) and 1.5 ppts in 2020, from 4% at the end of 2019. The rate is set to decline by three-four ppts among groups of ethnic minorities and four ppts in poor districts/ communes. (Kinh Te Do Thi, phapluatxahoi)