Japan to consider new generation ODA for key Vietnam projects

Talking to the press in Hanoi on June 29, Ito cited the joint statement on the establishment of the new partnership framework between the two countries in November 2023, saying the two sides will implement new Japanese ODA projects within the framework of Japan’s new ODA Charter.

He also said Japan recognizes the importance of factors such as high incentives, simple procedures and flexibility with regard to the new generation ODA projects.

Efforts now will be made for projects such as Ho Chi Minh City urban railway line 1, Ben Luc - Long Thanh section of North - South expressway and Hanoi urban railway line 2, according to the diplomat.

The ambassador also highly appreciated Vietnam’s efforts in improving its investment climate, saying more than 2,000 Japanese businesses are operating in Vietnam.

Ito quoted the Japan External Trade Organization (JETRO) saying Vietnam is the second appealing destination for Japanese businesses and about 60% of Japanese businesses say they want to expand investment there.

According to the diplomat, Vietnam attracts Japanese businesses thanks to its positive economic outlook, a large market of 100 million consumers, and an abundant, quality workforce. In addition, Vietnam is currently considered an important link in the supply chain.

During his meeting with Acting President Vo Thi Anh Xuan in mid-May, Ito said Japanese Government supports Vietnam in realising its goal of becoming a developed, high-income country by 2045 with ODA loans as well as expanding cooperation in the fields which are strengths of both sides.

He expressed his wish that Vietnam would continue to improve the business and investment environment and create more favourable conditions for Japanese businesses to operate in the country.