On December 16, 2021, the Government issued Decree No. 114/2021/ND-CP on the management and use of official development assistance (ODA) capital and concessional loans from foreign donors.
In which, the non-refundable ODA capital is prioritized to be used for the implementation of programs and projects on socio-economic infrastructure development; capacity building; support for policy, institutional and reform development; natural disaster risk reduction, prevention, combat, relief, and disease prevention; climate change adaptation; green growth; innovation; Social Security; prepare investment projects or co-finance projects using concessional loans to increase the preferential component of loans.
ODA loans are prioritized to be used for programs and projects in the fields of health, education, vocational education, adaptation to climate change, environmental protection, and essential economic infrastructure that are not capable of being used in direct return of capital.
The concessional loan capital shall be prioritized for use for on-lending programs and projects in accordance with the law on on-lending of ODA loans and foreign preferential loans of the Government; programs and projects under the state budget's pending tasks in the field of socio-economic infrastructure development.
Other priority cases shall comply with the Prime Minister's decision on the orientation of attracting, managing, and using ODA and concessional loans from foreign donors from time to time.
The Decree takes effect from December 16, 2021, and replaces the Government's Decree No. 56/2020/ND-CP dated May 25, 2020, on the management and use of official development assistance (ODA) capital and concessional loans from foreign sponsors/.
