AIIB to allocate roughly US$5 billion to support Vietnam

At the function, the Vietnamese cabinet leader emphasized Vietnam's commitment to boost its cooperative ties with AIIB, adding that Vietnam is pursuing three strategic breakthroughs, one of which is strategic infrastructure in such fields as transport, healthcare, education, culture, sports, climate change adaptation, digital infrastructure, green infrastructure, and circular economy.

Vietnam has great needs across all five transport modes, including road, rail, aviation, maritime and inland waterways. However, the Government will prioritize investments that create new development spaces and added value with a view to reducing logistics costs, boosting production and trade, generating livelihoods for residents, and promoting sustainable development, Chinh told his guest.

The Vietnamese Government chief suggested AIIB provide Vietnam with advice support and concessional loans for large-scale, high-efficiency infrastructure projects that boast the potential to reshape the country, including the North-South hi-speed railway, three northern railway lines connecting with China and extending to Europe and Central Asia, and urban railway lines in Hanoi and Ho Chi Minh City.

In reply, the AIIB President hailed Vietnam's remarkable economic achievements and growth, especially in the face of global economic challenges. He fully agreed with the cooperation directions outlined by PM Chinh, with a particular focus on large-scale projects.

Established in 2016, AIIB is a multilateral development bank that began with 57 founding member countries, including Vietnam. Its membership has since expanded to 109, accounting for 81% of the global population and 65% of global GDP. AIIB has so far approved 274 projects worth more than US$53.5 billion for its member nations.

In Vietnam, AIIB has focused on private sector projects totaling US$ 223 million, dealing with areas such as COVID-19 response, solar energy, hydropower, and climate change-related infrastructure. The bank is currently paying attention to financing some projects in renewable energy, transportation infrastructure, and water supply and drainage in Vietnam.