Vietnam spends $100 mln remedying disaster consequences

The Ministry of Investment and Planning has sought the Prime Minister’s approval of disaster relief package of US$100 million from the World Bank’s loan.

Hundreds of houses, schools and companies in the central province of Phu Yen are submerged in flood (Photo: SGGP)

As the WB classified it as urgent aid; accordingly it will provide the loan after 4 months instead of 18 months like other loans. The loan will last five years after the agreement takes affect.

Of $100 million, $52 million will be provided to the central provinces of Binh Dinh, Phu Yen, Quang Ngai and Ninh Thuan. Each will receive $16 million to overcome losses caused by disasters, restore production and stabilize local people’s lives as well as improve flood resistance for flood-prone areas in the future.

Before, the Vietnamese PM and the WB agreed to spend $100 million taken from slow disbursement of five projects supporting flood-hit provinces; additionally, the WB said that another sum of $100 million will be allocated for the Southeast Asian country.

As it is scheduled, Vietnam will not be eligible for ODA loan since July, 2017 because the loan is just for poor and underdeveloped countries.

By ANH PHUONG – translated by Uyen Phuong

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