World Bank funding has not been misused at the Ministry of Construction’s Project Management Unit 18 (PMU 18) and the WB and other donors are confident of the effective use of preferential credits in Vietnam, said Jim Adams, new general vice president for East Asia Pacific.
Speaking at a press conference in Hanoi on February 6 to announce the WB’s new partnership strategy with Vietnam, Mr Adams said the World Bank had sent a group of specialists to work with the Vietnamese Government and look into WB-funded projects managed by PMU 18. Through investigations, he said the bank found that its funding had not been misused in projects run by PMU 18.
Mr Adams pointed to the fact that Vietnam has used preferential credits effectively with the poverty rate dropping from 58 percent in 1993 to below 20 percent in 2005. The education and transport systems, particularly in rural areas, have been improved significantly.
The World Bank believes that Vietnam will continue to use aid from the bank and other donors effectively, said Mr Adams.
Under the new partnership strategy, the WB is set to provide Vietnam with US$4 billion in credits in the next five years till 2011. The strategy will focus on (i) improving the business environment, (ii) strengthening social inclusion, (iii) better managing natural resources and the environment, and (iv) improving governance. Mr Adams said that the global bank governing body believes that Vietnam will continue to maintain its past success through equitable and sustainable development.
