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The Official Development Aid (ODA) in the context of Vietnam becoming middle-income country (MIC)

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The Official Development Assistance (ODA) in the thesis includes the grant aid, concessional loans, the less concessional loans from the governments and international financial institutions. | 1 INTRODUCTION 1. The necessary of the study After 30 years of the Renovation Vietnam has made great achievements in economic development and social progress. Besides its efforts Vietnam has enlisted the support of international community to promote internal strength along with taking the advantage of all opportunities and overcoming the national difficulties as well as negative impacts of the global economic crisis in order to maintain stability the macroeconomic as well as ensure social security. In the period 1993-2015 with approximately us 85 billion of the committed capital us 72 billion of the signed capital and us 53 billion of the disbursed capital Official Development Assistance ODA has become a significant source of additional capital with many comparative advantages. Compared to commercial loans on international capital markets the financial conditions of ODA brings more preferential treatments. Hence Vietnam can implement a huge of programs and projects of social infrastructure in the areas of health education poverty reduction as well as institutional development and human capacity building. In 2010 the average of Gross Domestic Product GDP per capita of Vietnam was 1. 168 pcrson - higher than the starting level of middle-income countries as classified by the World Bank . Consistent with the practice of international development assistance the donors apply the different policies to support the low-income least developed countries group and the middleincome countries group. Becoming a middle-income country has made all the aid policies for Vietnam change. It means the nature the scope the structure the conditions and the method of providing ODA for Vietnam will be different from the last period of Vietnam. With the aim of maximizing the effectiveness of these funds serving the economic and social development this apprently leads the needs of the new policy and insitution for ODA in Vietnam. In fact there was still some limitations and weaknesses in .

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