HÀ NỘI – Over the past 13 years, the Saudi Fund for Development’s Contributions in Việt Nam has sponsored US$165 million for 12 projects in various fields all over the country.

”The projects have been used effectively to develop localities’ socio-economy,” noted Trần Quý Phương, Deputy Minister of Planning and Investment, at a meeting reviewing the fund’s effects held in Hà Nội on Monday.

”Unlike some major sponsors that have large capital/projects scale with complex and multidisciplinary designs, the SFD-funded projects have small and medium scales with not too complicated and single-sector designs, and they focus on a number of specific fields,” he said. ”Therefore, the preparation and implementation of these projects are smooth and fast; and so is the access of localities that have budget difficulties and limited project implementation experience, thereby contributing directly to hunger eradication, poverty reduction, and improving people's lives in those localities.”

Representatives from the Saudi Fund for Development’s Contributions in Việt Nam cut the ribbon to inaugurate the Hà Nam Vocational College on Monday.

Việt Nam started taking loans from the Saudi Fund for Development (SFD) in 2010.

Since then, the fund has provided to date over US$165 million to 12 projects in different localities, of which 10 projects were completed and put into use and two projects are being implemented, namely the projects "Improvement of infrastructure for agricultural development and climate change response in Cù Lao Tây, Thanh Bình District, Đồng Tháp Province" and of "Construction of inter-regional transport infrastructure to support socio-economic development of poor districts in Yên Bái province".

Phương said the Ministry of Planning and Investment, as the focal agency of the Government for managing loans and concessional loans, has closely coordinated with ministries, central authorities, and localities to select investment projects, complete their due procedures, and submit them to SFD for financing consideration.

”Regarding the fields and regions of funding, SFD has mainly prioritised projects in the fields of rural transport, health care, irrigation, vocational training, and climate change response, among others,” he noted. ”The financed regions are concentrated in remote areas and localities with limited development resources or undeveloped economic conditions that are in need of investment, such as Điện Biên, Cao Bằng, and Yên Bái.”

According to Saudi Arabia’s ambassador to Việt Nam, Mohammed Ismaeil A. Dahlwy, the SFD established in 1974 is a Saudi Arabian government financial agency that plays a significant role in funding development projects in developing countries.

“The fund’s mission is to support economic growth and social progress in those countries, by leveraging Saudi Arabia’s strengths and providing financial or technical resources to projects that address the needs of beneficiary populations,” he said.

SFD's mission is aligned with the UN Sustainable Development Goals, which are a set of 17 goals aiming to improve the quality of human life and create a more equitable world, he added.

SFD has so far funded more than 800 development projects and programmes in 100 countries across a wide range of sectors.

In addition to providing grants and loans for developing countries, SFD has also contributed to international organisations for development on behalf of the Kingdom’s Government.

“What SFD has done has turned challenges facing the financed communities into opportunities and given wings to their dreams toward a more advanced living environment,” he said.

Deputy Minister Phương said the year 2024 will mark the 25th anniversary of the establishment of diplomatic relations between Việt Nam and Saudi Arabia.

Bắc Kạn General Hospital & Medical Training Centre built by the SFD. Photos Courtesy of the embassy

“I believe that SFD will serve as a bridge to enhance the relations between Việt Nam and Saudi Arabia towards new prospects for cooperation that are aligned with the two sides’ priority areas,” he noted. “We commit to always accompany, support, and coordinate with ministries, central and local authorities to solve problems in legal procedures, facilitate the valuable funding flows, as well as to implement SFD-financed projects in an effective and sustainable manner.

On the same day, the SFD delegation officially inaugurated the Hà Nam Vocational College, which received $9 million from the SFD.

“We believe in the importance of education, which is key to empowering youth around the world,” said SFD Chief Executive Officer, Sultan Al-Marshad. “Since the start of our operations in 1975, SFD has contributed more than $2.6 billion to support over 80 educational projects in developing countries worldwide. Education raises competencies, develops skills, and qualifies young people for vital opportunities in their lives and to become the key players in the future of their countries.

Ambassador Mohammed Ismaeil praised the strong ties and cooperation between Saudi Arabia and Việt Nam, which have seen significant progress over the past 24 years.

“The relationship has grown stronger, with enhanced collaboration across various sectors and effective coordination on international forums,” he said. “Bilateral trade reached $2.7 billion in 2022, marking a 32.4 per cent annual increase.”

In addition, exchanges of delegations at all levels between the two countries have also been strengthened over the past period, most recently the successful visit of PM Phạm Minh Chính to Saudi Arabia last month during the ASEAN-GCC summit, he said. VNS