HCM City-based Esuhai Co Ltd has become the first privately-owned firm to receive ODA (Official Development Assistance) loans, which have long been granted only to government-related projects.
Esuhai yesterday broke ground on the construction of its Japan – Vietnam centre for Technological Workforce Training and Development, a project funded by the Japanese International Cooperation Agency (Jica) via ODA loans.
The assistance is made under a plan that Jica will transfer capital to the Asia Commercial Bank (ACB), which will later offer a loan worth 200 million yen, or VND52 billion (US$2.5 million) to Esuhai to invest in the centre.
“Though most of Jica assistance has been put in government-related projects so far, infrastructure project in the private sector will now also come into Jica’s consideration,” said Yasui Takehiro, head of Jica’s foreign investment.
“Most of the ODA-funded projects are in the fields of infrastructure, education, and personnel training.
“We are evaluating some projects, including one to build a school in the north and one to set up a wastewater treatment plant in Long An,” he continued.
Takehiro said a project should meet three requirements to be eligible for an ODA from Jica.
First, the project should contribute to social development. Second, it should boost the economic and cultural cooperation between Japan and Vietnam.
“And finally, the project should have high feasibility,” he told Tuoi Tre.