World Bank provides US$221.5 million to support Vietnam recovery from Covid-19
The US$221.5-million-credit is a budget support operation and comes in the form of concessional terms for a period of 30 years with a grace period of five years.
The Vietnamese Government and the World Bank have signed an agreement for financing of US$221.5 million to support Vietnam’s recovery from the Covid-19 pandemic through policy reforms aimed at improving financial inclusion and spurring greater environmental resilience.
|World Bank financial support would encourage policy reforms in Vietnam.
“In the spirit of our long-term, trusted and productive partnership, we are proud to support Vietnam at the time when the economy is recovering from the biggest shock of the past decades and when so many uncertainties remain around the pandemic,” said World Bank Country Director for Vietnam Carolyn Turk. “I believe that the range of policy actions supported by this operation will not only create a strong foundation for the immediate recovery from the Covid-19 crisis but also benefit Vietnam in the longer run.”
The US$221.5-million-credit is a budget support operation and comes in the form of concessional terms for a period of 30 years with a grace period of five years. It encourages policy reforms under two pillars.
The first supports an inclusive economic recovery by easing the tax burden on businesses, improving access to financial assistance among vulnerable groups, reducing gender gaps in the workplace, and promoting financial inclusion.
The second pillar contributes to greening trade policies, accelerating the adoption of e-government, and increasing the uptake of renewable energy.
The government has moved quickly in recent months on the implementation of these reforms. The approval of mobile money licenses and the rollout of electronic invoice systems in the country’s largest municipalities are examples of this. The pace of reform is expected to accelerate as part of the recovery package to be discussed at the National Assembly next week.
The credit is provided through the World Bank’s International Development Association (IDA), the Bank’s concessional lending window for low-income countries.
- Jan-Feb: Hanoi leads in foreign investment registration
- Vietnam accelerates plan to train 50,000 semiconductor engineers
- Vietnam aims to export US$16 billion worth of timber this year
- Prime Minister Pham Minh Chinh expects more from Siemens’ local operations
- Hanoi to host new high-value IT parks
- Vietnam's labor market soars with 51.7 million employed in Q1
- Hanoi envisions becoming leading semiconductor center
- Vietnam to produce clean hydrogen by 2030
- PM urges major mobile carriers to lead in semiconductor chip research
- Supermarkets in Hanoi offer post-Tet promotions to boost demand
Potential upgrade to emerging status may pull US$25 billion into Vietnam’s stock market
Jan-Feb: Hanoi leads in foreign investment registration
Vietnam news in brief - February 28
Photo exhibit celebrates motherhood on International Women's Day
Vietnam accelerates plan to train 50,000 semiconductor engineers
Siemens interested in Hanoi's metro projects: CEO Roland Busch
Prime Minister Pham Minh Chinh expects more from Siemens’ local operations
Tales of recruits: Answering the nation’s call
Vietnam's 2024 Top 10 most welcoming cities