HCMC – The Ministry of Planning and Investment has drafted a decree prioritizing non-repayable official development assistance (ODA) grants for socioeconomic infrastructure, policy development, disaster risk management, and climate adaptation, reported the local media.
The draft, open for public feedback, emphasizes green growth, social welfare, innovation, and co-financing for projects that utilize concessional loans.
Concessional ODA loans will focus on healthcare, education, vocational training, and key economic infrastructure, particularly in non-revenue-generating areas. The prime minister will set additional priorities based on Vietnam’s changing foreign assistance strategy.
The proposed decree restricts ODA and concessional loans to development investment only, excluding operational expenses. Additionally, foreign loans will not cover training, taxes, fees, loan interest, vehicle purchases, or project management costs, except when essential for technology transfer and equipment operation.
The Government aims to centralize ODA management for effective fund use and debt control, while decentralization may be considered for capable ministries, agencies, and local authorities.
