VietNamNet Bridge – The Organisation of Petroleum Exporting Countries Fund for International Development (OFID) committed yesterday, May 4, to providing Viet Nam with a US$22.5million loan to upgrade hospitals in Ha Noi and northern mountainous province of Tuyen Quang.

Finance Minister Vu Van Ninh and OFID director general Suleiman Jasir Al-Herbish signed the agreement, emphasising that this was the OFID's biggest ever loan to Viet Nam.

Viet Nam has 20 years to return the loan with yearly interest rate of 1.75 per cent and annual service charge of 1 per cent on the primary loan. The country will also enjoy a five-year grace period.

Under the agreement, Trung Son District's General Hospital in the northern province of Tuyen Quang and the Transport Hospital in Ha Noi would have their facilities upgraded, including 90 additional beds in Trung Son and 200 extra beds in Ha Noi, along with modern medical equipment.

In addition, hospital staff will receive improved training thanks to the grant.

Viet Nam will spend $2.5 million on the projects this year, which are expected to be completed by 2015.

OFID has granted Viet Nam 16 loans worth $161 million in transport, agriculture, healthcare, education and poverty reduction to date.

VietNamNet/Viet Nam News