ADB loans $53 mln for water supply, sanitation in central Vietnam

The Asian Development Bank (ADB) will lend Vietnam US$53.2 million to help improve water supply and sanitation infrastructure in small towns in the central region.

The two sides signed an agreement for the purpose in Hanoi Thursday.

The central region, home to a large number of poor, is in dire need of investments to catch up with other regions in terms of development.

The gap in living standard is actually widening with investments focused steadily on urban areas in the north and south of the country.

The lack of infrastructure severely discourages needed external investments to develop the central region.

The ADB-assisted project will upgrade water supply and sanitation infrastructure, increase access to services, and improve the management of public utilities in eight small and medium towns in the provinces of Binh Thuan, Dak Nong, Khanh Hoa, Ninh Thuan and Phu Yen.

Around 13,300 households will benefit from improved and expanded water supply, 105,000 households from drainage and wastewater treatment and protection from floods, and 30,700 households from improved solid waste management and good hygiene practices.

The project will also assist institutional reforms, improvement in efficiency of water and sanitation utilities, and sustain provision of quality services.

This will include, among others, corporatization of public utilities, tariff adjustments, cost recovery, and facilitation of an enabling business environment.

A community environmental and sanitation awareness component will educate the public on the importance of good environmental hygiene as well as community support for the project.

Source: ADB Press release