1/9, adjusting the financial management mechanism of ODA projects

The Ministry of Finance issued Circular No. 107/2011/TT-BTC amending the guidance on financial management mechanisms for programs and official development assistance (ODA) projects.

The Ministry of Finance amends Point c - "Selecting a serving bank" in Clause 2, Article 1 of Circular No. 40/2011/TT-BTC dated March 22, 2011 amending and supplementing a number of points of Circular No. 108/2007/TT-BTC dated September 7, 2007.

Kim Lien road tunnel at Kim Lien-Dai Co Viet intersection, a project built with ODA capital from Japan. (Photo: Danh Lam/VNA)

Specifically, the agency in charge of negotiating a specific international treaty on ODA considers, approves and selects a bank to serve the ODA project, notifies the negotiating partner and implements it.

In case many qualified commercial banks propose to serve an ODA project, priority will be given to the following banks: banks with experience in serving ODA projects; state-owned commercial banks; joint-stock commercial banks in which the state holds controlling shares.

The Circular takes effect from September 1./.

(According to VNA)