ODA hits record numbers

The ODA commitment from the donor community this year was $300 million higher than the amount pledged last year.
Vietnam’s robust growth and the government’s reform attempts have helped the country gain the confidence of international donors, who accordingly pledged the record ODA commitment.
Japan remains the biggest donor this year with its total ODA commitment of $835.6 million, an increase of 9 per cent over last year.
Next are EU countries totalling $936.2 million, the World Bank (WB) at $750 million, the Asian Development Bank (ADB) at $539 million and China at $200 million.
“Such a commitment demonstrates strong support from the international donor community for Vietnam,” said Klaus Rohland, Vietnam country director for the World Bank.
The increasing ODA commitments pledged to Vietnam takes place while ODA to developing countries is being reduced worldwide.
Japanese ambassador to Vietnam Norio Hattori said: “Japan highly regards Vietnam’s spectacular economic performance, its reform efforts, and its giant strides to promote growth and reduce poverty.”
“However, with its further integration into the world economy and its soon-to-be anticipated accession to the World Trade Organization, Vietnam will, no doubt, be facing tougher competition from abroad,” he added.
Vietnam needs about $140 billion in investment capital in the next five years, and ODA and foreign direct investment capital is expected to make up nearly 40 per cent of the amount.
Rohland said international donors and foreign investors will stand behind the robust growth of Vietnam’s economy as the government attempts to increase the per capita income by nearly $400 to $1,000 by 2010.
“There are many things to reform, ultimately, at the same time, ranging from banking and financial reform, investment monitoring system to public administration reform,” he said.