Ministry of Planning and Investment Portal

Deputy Minister Tran Quoc Phuong (R) and Mr. Francisco Pichon (L). Photo: MPI

At the meeting, Deputy Minister Tran Quoc Phuong welcomed Mr. Francisco Pichon to work in Vietnam, and said that Vietnam recognized the international sponsors’ valuable contributions including IFAD's meaningful support for the general development , and for some IFAD’s areas of strengths, especially in infrastructure, agriculture, rural development, andclimate change responses. Vietnam highly appreciates IFAD’s confidence and trust in the Cooperation Program of the coming period. The Program has shown a stronger commitment to support resources for Vietnam.

Deputy Minister Tran Quoc Phuong hoped that Mr. Francisco Pichon, on his new position and duty in Vietnam, would have opportunities to learn more about Vietnam’s economy and culture, and create significant supports between the Ministry of Planning and Investment and IFAD, and between IFAD and Vietnam.

At the meeting, Mr. Francisco Pichon thanked Deputy Minister Phuong for taking his time to welcome the delegation and affirmed that IFAD had always closely cooperated with the MPI during its working time in Vietnam. IFAD has many years of experience in supporting farmer’s households and vulnerable groups, including ethnic minorities and young people.

Trying its best to support the Vietnamese Government, especiallyin the implementation of new ODA policy, IFAD is working with some international organizations and other sponsors to support localities in building infrastructure, mobilizing the other sponsors’ participation in non-refundable aids. IFAD has been also approving a project of smart agriculture to adap to climate change in the Mekong Delta. As this is a typical example for the collaboration of sponsors, IFAD hopes that the project will be approved in 2021 by the IFAD’s Board of Directors.

Over the past time, IFAD has two important roles as an organization of the United Nations and a multilateral international financial institution. Therefore, in addition to supporting policy; for example, providing comments on amendments of the Decree No. 56/2020/ND-CP issued by the Government on May 25th, 2021 on management and use of official development assistance (ODA) and concessional loans from foreign donors of Vietnam, IFAD is also a donor and a financial institution. In these two areas, IFAD is willing to support Vietnam in the policy amendment and development, especially socio-economic development policy and help Vietnam to be more flexible in selecting investment packages.

Besides the fixedcapital allocated every three years according to support packages, IFAD shall depend on the the Government’s needs to propose to give additional capital in addition to such allocated capital in three years. This will help the Government be more proactive in allocating capital. IFAD has also cooperated with other international organizations in the Central Highlands and South Central Coast of Vietnam to meet needs of the Government and some projects.

Overview of the meeting. Photo: MPI

Deputy Minister Phuong thanked Mr. Francisco Pichon for his comments and said that Vietnam's ODA attraction haschanged to create more favorable conditions for the effective promotion of ODA resources. Specifically, the Vietnamese Government hasconsidered to approve a new Decree amending and implementing the Governmental Decree No. 56/2020/ND-CP dated May 25th, 2021 on management and use of official development assistance (ODA) and concessional loans from foreign donors, removing some obstacles by donors to shorten administrative time and procedures of ODA projects, as well as more specifically decentralizing localities to approve investment policy decisions.

The MPI has also submitted to the Prime Minister a plan on the Mekong Delta development to adapt to climate change until 2030 with many new points regarding to structural changes in the agricultural sector and international experience to effectively operate the climate change adaptation model. The MPI is pleased that IFAD pay attention to the agricultural sector in the Mekong Delta.

Deputy Minister Tran Quoc Phuong has highly appreciated IFAD's activities in Vietnam and other countries in promoting international resources, investment cooperation withcountries and development partners in rural area transformation, poverty reduction for vulnerable groups to ensure adaptive livelihoods for farming households in the region. He also wished to have more meeting to exchange detailed solutions to promote cooperation between the MPI and IFAD, and between IFAD and Vietnam./.