Under the signed agreement, ADB will lend 10,062,000 Special Drawing Rights (SDR) equivalent to US$15 million in preferential loan from the Asian Development Fund with the maturities of 24 years, including an 8-year grace period. The annual interest rates are fixed at 1% during the grace years and 1.5% thereafter. The whole sum will be disbursed once for all in 2007.
The loan is aimed at supporting the Vietnamese Government in implementing a policy and structure reform agenda to achieve the following targets:
- To facilitate the transition to a market economy in all areas committed to WTO, boost State enterprise reform, design a roadmap for banking reform, improve business environment and infrastructure services;
- To achieve socially inclusive and environmentally sustainable pattern of growth through improving education, health, social insurance, land and water resources, environmental protection and gender responsiveness;
- To adopt a modern public administration in planning processes and public financial management, increase financial accountability and transparency, boost legal and administrative reform, and enhance anti-corruption.
By Xuân Hồng
(Source: Document 2148/TTg-QHQT)