Partnership for Quality Infrastructure initiative for all of Asia with Vietnam to be of particular focus.
Japan aims to raise JPY30 trillion ($300 billion) for high quality infrastructure development projects and human resources training in Asian countries, giving top priority to Vietnam.
Chairman of the General Council of Japan’s ruling Liberal Democratic Party (LDP), Mr. Nikai Tohishiro, made the statement at the first session of the party’s special committee on the general cooperation strategy for infrastructure development, in Tokyo on March 25.
He highlighted the significance of effectively implementing the Partnership for Quality Infrastructure initiative.
Ambassador of Vietnam to Japan, H.E. Nguyen Quoc Cuong, said that Vietnam welcomes the initiative, announced by Japanese Prime Minister Shinzo Abe last year.
He expressed his hope that the two countries will foster coordination to improve the efficiency of the use of Japan’s official development assistance (ODA) to develop sustainable, high-quality, and highly accessible infrastructure in Vietnam.
The ambassador in particular pointed to developing transport and energy infrastructure such as highway, seaport and airport networks and the North-South railway, as well as new-generation thermal power plants and new energy systems meeting high environmental standards.
Vietnam hopes Japan will prioritize technology transfer, management capacity, vocational training and high-quality human resources development for Vietnam and Mekong sub-regional countries, contributing to regional connectivity.
He added that with a population of over 92 million and an average age of 28, Vietnam is in a “golden population” phase and entering a period of rapid infrastructure development over the next 10-15 years.
According to the latest research from the World Bank, with a GDP target of $300 billion by 2020 the total capital demand for infrastructure development in Vietnam could amount to over $100 billion between 2016 and 2020, averaging $25 billion per annum, Ambassador Cuong said.
Vietnam will mobilize such capital from various sources, including State-owned enterprises, ODA, and the private sector at home and abroad, to implement infrastructure projects under the form of public-private partnerships (PPP).