IMF approves Vietnam loans

IMF approves Vietnam loans

WASHINGTON (AFP): The International Monetary Fund executive
board on Friday approved in principle a three-year US$368 million
loan to support the government's efforts to boost growth and
reduce poverty, an IMF statement said here.

A final decision from the board awaits approval by the World
Bank, the IMF's sister institution, of Vietnam's poverty
reduction strategy paper. The Bank executive board is expected to
take action on the matter April 12.

The funds will back a program that "seeks to build on
Vietnam's recent record of positive performance and policy
momentum," said IMF Deputy Managing Director Shigemitsu Sugisaki.

"The reform agenda is appropriately centered on accelerating
structural reforms to boost private investment and
competitiveness of the economy."

Under the program, Vietnam's gross domestic product growth is
projected to rise to seven percent in 2003 from an anticipated
five percent this year, with inflation held to under five
percent.