Danish Mixed Credits for Better Watersupply and Sanitation

In May 2010, a review of eight water supply and sanitation projects which received support from the Danish mixed credits programme in Vietnam concluded that these projects have been successful.


The Danish Mixed Credit programme offers interest free or low interest loans for development projects which aim to reduce poverty, improve living standards and contribute to economic growth in Vietnam.


In May 2010, the Secretariat for Mixed Credits conducted a review of eight projects in water supply and sanitation in Vietnam which were implemented between 2002 and 2008. These projects are located throughout Vietnam from the north to the Mekong River Delta. These projects are providing clean water for the local people in Ninh Binh, Hanoi (including Ha Tay), Vinh Phuc, Ha Nam, Nghe An, Binh Duong and Long An.


The Danish Mixed Credit programme provided a total of 240 million DKK in soft loans to finance these projects.  The overall assessment of the review is that these projects are functioning well: water is produced and delivered as planned. The users are in general satisfied with the water they receive. On the other hand, in two projects, the demand for water has been overestimated and the systems have a low capacity utilization.


Given the successful performance of these projects, the review team has recommended that the Danish Mixed Credits programme in Vietnam will continue in the water sector with more focus on the environmental sanitation.


 

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