US$490 mln ADB loan for two infrastructure projects in VN

The State Bank of Vietnam and the Asian Development Bank (ADB) on October 16 signed a loan contract of US$490 million for two infrastructure projects in the Mekong Delta and the Central Highland Provinces.

The Central Mekong Delta Connectivity Project will be funded $410 million from ordinary capital resources of ADB and $134 million in non-refundable aid via the Australian Agency for International Development.

The above project aims to improve transport in the Mekong Delta region and link roads from Ho Chi Minh City to some southern coastal provinces by building the Cao Lanh Bridge across the Tien River and Vam Cong Bridge across the Hau River.

Millions of residents in An Giang, Can Tho, and Dong Thap Provinces will benefit from this project which will also create more jobs and increase trade in the Mekong Delta.

Within the next five years, the project is expected to improve transport infrastructure, reduce poverty, intensify national security and defense, and foster socioeconomic development in the Mekong Delta and southwest region.

The Rural Infrastructure Development Project for the Central Highland Provinces will receive $80 million in preferential credit from ADB and will be implemented during the period from 2014 to 2018. This is aimed at reducing poverty by developing technical and social infrastructure and improving socio-economic conditions for residents in the region.

By Bao Minh, Bich Quyen – Translated by Thuy Doan

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