Hanoi wins WB credit for rural road revamp

Hanoi wins WB credit for rural road revamp

HANOI (Reuter): The World Bank said yesterday that it would
lend Vietnam $55 million for a project to revamp rural access
roads in 15 of the country's poorest provinces.

The International Development Association credit will cover
most of the project's $60.89 million cost and the government of
Vietnam will provide the balance, the Bank said in a statement.

"The project will boost poverty alleviation and rural
development..." it said. "By improving road systems, rural areas
will gain better access to agricultural technology, efficient
marketing opportunities and corresponding economic activities."

Vietnam's rural areas, where some 57 percent of the people
live below the poverty line, have lagged behind urban areas in
growth and development during the past decade of reform.

The Bank said a lack of rural infrastructure and inadequate
access to markets have contributed to persistent poverty and
malnutrition. Most rural roads are in poor condition,
inaccessible during the wet season and an impediment to trade and
growth.

The Vietnamese government's rural development strategy has
begun to target investment in economic infrastructure,
particularly in roads and transport systems.