ADB supports VN’s public investment reform

In December 2012, ADB approved a technical assistance (TA) worth US$800,000 to be financed by the Japan Fund for Poverty Reduction to help Viet Nam improve the coordination of RCI activities and strengthen the capacity for regional cooperation investment planning, and maximize RCI’s contribution to national development objectives

At a workshop in Ha Noi on July 24, Hiroyki Kato, First Secretary of the Embassy of Japan, said the support reflects Japan’s commitment to help enhance the coordination of regional and subregional initiatives covering the Mekong region countries.

Representatives from central government agencies, provinces and development partners discussed issues and challenges constraining in-country effective coordination and investment planning of RCI activities, and agreed on the TA objectives, approach, key activities and work plan to enhance the efficiency of public investments involving RCI initiatives.

Though Viet Nam is involved in a large number of RCI initiatives, the weakness in coordination, information sharing, and capacity has been hindering the complementarities and synergy between and among RCI programs and projects, affecting the achievement of their intended results and the efficiency of public investments.

The need for improvement is urgent as RCI remains to be one of the key elements of Viet Nam’s medium-term development strategy; and the efficiency of public investments is among the most critical factors in ensuring Viet Nam’s sustainable growth, given the country’s significant demand for infrastructure improvement and social services.

These are not easy tasks, but absolutely necessary if Viet Nam is to achieve its aim set under the Socio-Economic Development Plan 2011-2015 to create collective strengths of economic development under different subregional initiatives, stated Yumiko Tamura, Principal Country Economist, ADB. - VOV