World Bank to Fund $507M for Agriculture, Poverty Fight, Infrastructure

The State Bank of Vietnam and the World Bank on Thursday [July 9] signed four credit agreements totaling $507 million to support Vietnam’s priorities in sustainable agriculture, poverty reduction, and a bus rapid transit system. The signing took place in Washington, D.C., on the occasion of the first official visit of General Secretary of the Communist Party of Vietnam Nguyen Phu Trong to the United States, the World Bank said in a press release. “The signing signals the close partnership between Vietnam and the World Bank, and we look forward to even more comprehensive cooperation in areas of strategic importance to the country,” said Victoria Kwakwa, the World Bank’s country director for Vietnam. The financing covers four projects: the Sustainable Agriculture Transformation Project ($238 million); additional financing for the ongoing Livestock Competitiveness and Food Safety Project ($ 45 million); additional financing for the Second Northern Mountains Poverty Reduction Project ($100 million); and the Ho Chi Minh City Green Transport Development Project ($124 million). “Sustained agricultural growth will require structural changes in the pattern of production and organization of the supply chain to improve the livelihoods of small-holders and their families,” said Chris Jackson, the World Bank’s Lead Rural Development Specialist and Team leader for the project. “The government is addressing infrastructure constraints that may impede Vietnam’s continued strong economic performance. Upgrading a key transport corridor in Ho Chi Minh City can demonstrate to the rest of the country the potential of a sustainable urban transport system,” said Arturo Ardila-Gomez, the World Bank’s Project Lead Transport Economist and Project Team leader. (World Bank’s July 9 press release)