WB supports urban, energy and forestry sectors

The WB approved 522 USD mln in credit for the development of VN's urban, energy, and forest sectors.
The World Bank approved on Mar. 22 a total of 522 USD million in credit for the development of Vietnam's urban, energy, and forest sectors.

Three projects receiving the funds include the Cuu Long (Mekong) Delta Region Urban Upgrading Project; the Second Power Sector Reform Development Policy Operation; and the Forest Sector Development Project - Additional Financing.

All three projects support the World Bank's new Country Partnership Strategy (2011-2016) for Vietnam , the bank said in a press release.

"The approval of the three operations demonstrates the continued strong partnership between Vietnam and the World Bank,” said Victoria Kwakwa, World Bank Country Director for Vietnam .

She said these credits help address emerging challenges such as rapid urbanisation, the need for an efficient power sector to meet the country’s rapidly growing demand, and the importance of sustainable management of the national forest resources to help move rural communities out of poverty.

The Cuu Long (Mekong) Delta Region Urban Upgrading Project will improve infrastructure and services for more than 1.5 million people in the Cuu Long (Mekong) Delta cities of Can Tho, My Tho, Cao Lanh, Ca Mau, Rach Gia, and Tra Vinh.

The bank's International Development Association (IDA) will fund this project with 292 million USD.

The Second Power Sector Reform Development Policy Operation is one of three policy operations that support the Government in implementing reforms in the power sector to facilitate and promote effective competition in power generation; transparency and predictability in electricity pricing and tariffs; encourage investment in power generation; and implement programmes and incentives for efficient use of electricity.

For this operation, the Bank provides 200 million USD, half of which comes from IDA, and the other half from the International Bank for Reconstruction and Development.

The Forest Sector Development Project aims to promote sustainable smallholder plantation forestry to help raise rural incomes and support biodiversity conservation across Vietnam 's priority conservation areas.

The project supports the National Forestry Strategy through restoring and increasing forest cover, promoting market-based approaches to forestry, increasing roles and responsibilities of local forest owners, strengthening protected areas management and conserving biodiversity with the involvement of local communities.

Under the Additional Financing operation, IDA will provide an additional 30 million USD over three years to the project covering six provinces in the central coastal region of Vietnam .-VNA

See more