An agreement on the establishment of the fund was signed in Hanoi on July 5 by Dr. Markus Cornaro, Ambassador/Head of the EC Delegation to Vietnam and Klaus Rohland, Country Director of the World Bank (WB).

The fund, to be managed by the WB, was sourced from the EC's annual aid package for Vietnam, averaging 40 million euros. It is planned to start operations from Jan. 1, 2007 until Dec. 31, 2010.

It is part of the "Health Care Support for the Poor in the Northern Uplands and Central Highlands" (HEMA) project with a total value of 19.4 million euros, of which 18 million euros came from the EC's aid package and 1.4 million euros was contributed by the Vietnamese Government.
HEMA beneficiaries include the northern provinces of Dien Bien, Son La, and Lai Chau, and the central provinces of Gia Lai and Kon Tum, all of which are home to large groups of ethnic minority people.