Dong Nai reborrows ODA capital to develop water supply project

The Dong Nai Water Supply JSC and HD Bank sign contract allowing the former to borrow money from the JICA. (Source: HD Bank)

Dong Nai (VNA) – The Dong Nai Water Supply Joint Stock Company and the HCM City Housing Development Bank (HD Bank) on April 28 signed a contract to finance phase 2 of the Nhon Trach Water Supply System.

The contract allows Dong Nai Water JSC to reborrow nearly 3 trillion VND (132 million USD) from the Japan International Cooperation Agency (JICA) with a repayment period of 25 years.

The second phase of the project has a total capital of about 3.57 trillion VND (157 million USD) and will be implemented in seven years, beginning from 2016.

Upon completion, the water plant’s capacity will increase from 100,000 cu.m to 200,000 cu.m per day, to meet growing demand from households and businesses.

Dinh Quoc Thai, Chairman of the provincial People’s Committee, said the southern province of Dong Nai currently has a population of three million with 29 industrial parks, which creates a huge demand for water.

The project also helps reduce drilling for underground water, which depletes water resources and creates environmental pollution, he added./.