Vietnam, Denmark ink framework agreement on credit programme

Vietnam and Denmark signed a framework agreement on the Danish general credit programme for Vietnam, in Hanoi, on April 23.

The agreement, the fourth of its kind between the two governments, was aimed at providing preferential loans to development projects in Vietnam and will run until 2011.

According to the Danish Embassy, in 2007 the general credit fund will be provided for private businesses with contracts worth between US$1 million-US$2.7 million.
Denmark granted loans under the first framework agreement to Vietnam in 1995 and a sum of US$120 million has been so far pledged by the Danish government, said the Ministry of Planning and Investment.

To date, about 20 projects have been completed and 10 others are in various stages of preparation. Twenty-three of the 64 cities and provinces in Vietnam have received capital from the fund.