Ho Chi Minh City faces many difficulties in disbursing ODA capital.

Accordingly, Ho Chi Minh City is implementing 5 ODA projects, of which 4 group A projects have a total investment capital of over 10,000 billion VND and 1 group B project. The total investment capital is 114,003 billion VND; of which ODA capital is 94,883 billion VND, counterpart capital is 19,120 billion VND.

The capital plan assigned in 2024 for ODA capital is more than 5,889 billion VND, of which ODA capital allocated from the central budget is more than 1,140 billion VND, ODA capital re-borrowed from foreign loans of the Government is more than 4,749 billion VND. Counterpart capital is more than 947 billion VND.

Accumulated disbursement in the first 9 months of 2024, ODA loans were over VND 1,085 billion, cumulative disbursement reached 18.43% compared to the assigned capital plan. Counterpart capital was over VND 220 billion, cumulative disbursement reached 23.3% compared to the assigned capital plan. According to the Ho Chi Minh City People's Committee, the disbursement rate of ODA capital and preferential loans of some projects is not high, partly due to the complicated procedures and processes for managing and using ODA capital according to legal regulations. In addition, procedures for adjusting investment policies, adjusting projects, extending procedures, negotiating and signing loan agreements still take a long time.

In addition, the lack of agreement between project owners and contractors on differences in understanding of some contract terms and regulations of sponsors also affects the implementation progress and capital disbursement of programs and projects.

Ho Chi Minh City's ODA disbursement rate remains low, partly due to problems with processes and procedures.

To speed up the construction progress of projects as well as enhance the disbursement of capital sources in 2024, the Ho Chi Minh City People's Committee has directed investors to develop monthly and yearly disbursement plans for 2024. Assign the Working Group to review difficulties and problems related to projects using ODA capital and preferential loans from foreign donors.

The working group also held monthly meetings with investors to review and resolve difficulties in the project implementation process. At the same time, it directed departments and branches to closely coordinate and support investors to speed up project implementation progress, improving the ability to disburse planned capital in 2024.

However, according to the HCM City People's Committee, currently ODA projects are still facing some difficulties and problems that are within the jurisdiction of the central ministries and branches. These difficulties have been reported and recommended by the HCM City People's Committee and ODA project investors and are being considered and supported by the ministries and branches.

Specifically, the Ho Chi Minh City People's Committee has proposed that the Government Office and central ministries and branches pay attention to supporting the early reporting to the Prime Minister for approval of the investment policy for the Project to improve drainage and wastewater systems and adapt to climate change in the Tham Luong - Ben Cat basin (CRUS1 project) and the Project to improve drainage and wastewater systems and adapt to climate change in the West Saigon basin (CRUS2 project). These are two projects with loans from the Asian Development Bank.

Particularly for the Ho Chi Minh City environmental sanitation project - phase 2, the Ho Chi Minh City People's Committee proposed that the Ministry of Industry and Trade soon issue a document guiding the procedures for implementing the solar battery category for the project.

Source: https://www.congluan.vn/tp-hcm-gap-nhieu-kho-khan-vuong-mac-trong-viec-giai-ngan-von-oda-post316355.html