Countries and Regions

	Table of Contents
p. 5 of 10 BACK | NEXT I. Current Development Trends and Issues II. Implementation of the Country Strategy and Program A. Progress in Poverty Reduction B. Progress in the Country Strategy and Program Focus Areas C. Highlights in Coordination of External Funding and Partnership Arrangements III. Portfolio Management Issues IV. Country Performance and Assistance Levels

Country Strategy and Program Update 2006-2008: Viet Nam, Socialist Republic of : II. Implementation of the Country Strategy and Program

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C. Highlights in Coordination of External Funding and Partnership Arrangements

10. As part of its regular operations, ADB has maintained close coordination with the major development partners, aimed at improving the effectiveness, efficiency, and impact of its lending and nonlending programs to Viet Nam. The goal is to mobilize not only financial resources but also expertise from these agencies, which indicated at the June Consultative Group meeting that they would align their respective country strategy and program with the Government’s SEDP. Some are supporting the Government in sector assessment and sector road maps (e.g., health, and education), and considering the introduction of new modalities such as sector wide approaches. ADB is actively participating in aid coordination in these areas. Anticipated cofinancing arrangements include $67.8 million for 2005; $47 million for 2006; $110 million for 2007; and $50 million⁹ for 2008. Cofinancing is also being raised for new TAs, and GMS lending projects.

11. ADB actively participated in the policy discussions for preparing the Poverty Reduction Support Credit IV, cofinanced by the World Bank and several other bilateral and multilateral ODA partners, including ADB. ADB continues to work with the Agence Française de Développement (AFD), Japan Bank for International Cooperation (JBIC), Kreditanstalt für Wiederaufbau (KfW), and World Bank to harmonize procedures in the areas of procurement, financial management, portfolio management, and environmental and social safeguards. This five-way operational partnership will be maintained. ADB actively supports implementation of the OECD/DAC Paris Declarations and contributed to the preparation of the Hanoi Statement and Viet Nam Harmonization Action Plan.

12. ADB will continue to identify and finalize cofinancing operations from grant and official loan sources in conjunction with its public sector lending operations and to mobilize grant financing of part of its TA program to address the thematic priorities. ADB will also continue its dialogue with the Government and commercial partners to identify and process commercially viable private sector investments.

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