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Japan to provide stimulus loan

 Japan to provide stimulus loan

Tuoi Tre


The Japanese government will give Vietnam up to US$200 million in loans as part of its $3 billion assistance package for Asian countries affected by the global economic downturn.


The Japanese government will provide the soft loan to support the Vietnamese government’s stimulus package, Japanese Embassy in Vietnam External Economic Department Deputy Chief Nguyen Xuan Tien told Tuoi Tre newspaper.


Japanese and Vietnamese officials will meet to discuss the details of the loan agreement, expected to be signed late this year, Tien said. The loan will have the duration of 15 years with the option of extending for a further three years.


According to the External Economic Department, Japan will provide another loan of up to $150 million early next year to help Vietnam combat climate change.


The 40-year loan will have an interest rate of 0.25 percent.


The climate change loan is part of a separate $4.8 billion package the Japanese government pledged to help Bangladesh, the Philippines, Thailand and Vietnam deal with the effects of global warming.

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