Japan supports Vietnam with three pillars to aid high-quality growth
Japan signed loan agreements with Vietnam totaling 102.2 billion JPY (approximately 678 million USD) during the Japanese financial year from April last year to March this year. This is the largest amount of assistance in the six years since 2017.
Chief Representative of the Japan International Cooperation Agency (JICA) Vietnam Office Sugano Yuichi speaks at the press conference.
Hanoi (VNA) -✃ Japan signed loan agreements with Vietnam totaling 102.2 billion JPY (approximately 678 million USD) during the Japanese financial year from April last year to March this year. This is the largest amount of assistance in the six years since 2017.
Chief Representative of the Japan International Cooperation Agency (JICA) Vietnam Office Sugano Yuichi revealed the numbers at a press conference held in Hanoi on October 17. The amount excludes 'Investment Financing for the Private Sector".
During that time, technical cooperation with Vietnam reached 5.2 billion JPY, making it the largest in the world for the same financial year.
Grant aid for Vietnam amounted to 1.1 billion JPY in committed funds.
“The programmes and projects have provided timely support for Vietnam’s economic recovery following the COVID-19 pandemic, contributing to both economic infrastructure and human resource development, laying the groundwork for medium and long-term economic growth,” he said.
Japanese citizens and businesses continued to express significant interest in Vietnam that had consistently maintained stable and sustainable growth.
Moreover, Vietnam was at the forefront of JICA’s cooperative efforts, with 45 Japanese overseas cooperation volunteers dispatched, 36 business investment projects from small and medium-sized Japanese enterprises focused on Sustainable Development Goals (SDGs) and 24 grassroots technical cooperation projects (Partnership Development Programme).
“Additionally, Vietnam ranks second globally with nine projects under JICA’s Investment Financing for the Private Sector programme,” he said.
Japan supports Vietnam in developing the transportation system. (Photo: Vietnam+)
Three key pillars
Also at the event, Sugano pointed out some of JICA's outstanding projects and plans, focusing on three key pillars.
First, under the pillar of 'high-quality growth' the Binh Hung Wastewater Treatment Plant in HCM City, which used loan funding, held its inauguration ceremony in August.
At the time of its opening, it was the largest wastewater treatment plant in Vietnam, expected to significantly improve water pollution - a pressing issue affecting the local populace, he said.
Furthermore, JICA was also constructing the Yen Xa Wastewater Treatment Plant – the largest wastewater treatment plant in Hanoi, anticipated to be completed in the near future.
In addition, the highly anticipated Metro Line 1 project, connecting Ben Thanh and Suoi Tien Area in HCM City had begun trial operations and the city was making swift preparations to put the urban railway line into commercial operation.
“JICA hopes that the Metro Line 1 will become an important means of transportation for residents, contributing to carbon emissions reduction by alleviating traffic congestion,” he said.
Within the second pillar, addressing 'vulnerable groups', JICA coordinated with a senior expert in disaster risk management, dispatched to the Ministry of Agriculture and Rural Development. Their work was in response to Typhoon Yagi that struck the northern region in September, causing significant damage to lives and property.
Eight days after the typhoon made landfall, at the request of the Vietnamese Government, JICA promptly provided emergency relief supplies, including water purifiers and tarpaulins, sufficient for 2,000 households in the northern mountainous province of Yen Bai, one of the hardest-hit areas.
Additionally, under a technical cooperation project for landslide and flash flood risk reduction in the northern region, the Sabo Dam began construction in September in the northern mountainous province of Son La.
In terms of agriculture, the inauguration of the North Nghe An Irrigation System Restoration and Upgrading Project, financed through JICA loans, took place in March. Expanding irrigation areas improves the livelihoods of rural residents.
Health care is one of the areas prioritised for support. (Photo: Vietnam+)
Furthermore, through technical cooperation aimed at strengthening the value chain of safe crops, JICA responded to real needs, including emergency support for farmers affected by the recent typhoon, enabling them to resume agricultural production promptly.
In the field of health and healthcare, JICA was preparing to implement a new technical cooperation project to enhance viral hepatitis prevention, a common infectious disease in Vietnam.
JICA signed an agreement for grant aid in May and is currently implementing a project to upgrade medical equipment at the Vietnam National Cancer Hospital, contributing to the increasing demand for cancer diagnosis and treatment in the country.
As part of the third pillar of ‘human resource development’, the year 2024 marked the tenth anniversary of the Vietnam-Japan University. As of September 6, 2024, there were 1,110 students enrolled, including those in postgraduate programmes. Building human resources in cooperation with local educational institutions is a critical feature of JICA’s long-term cooperation in Vietnam./.
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