Vietnam Third Rural Finance Project

Abstract*

The objective of the Third Rural Finance Project for Vietnam will be to increase economic benefits to rural private enterprises and households by increasing their access to finance. The expected outcomes will include: (i) improved access to financial services for rural entrepreneurs; (ii) increased capital investment made by the rural entrepreneurs as well as increased employment; (iii) increased lending, particularly term lending to the rural private... Show More

Development Objective

The development objective of the proposed RFIII would be to increase economic benefits to rural private enterprises and households by increasing their access to finance. The expected outcomes would include: (i) improved access to financial services for rural entrepreneurs; (ii) increased capital investment made by the rural entrepreneurs as well as increased employment; (iii) increased lending, particularly term lending to the rural private sector for capital investment by all participating financial institutions (PFIs) on market-based terms.

Key Details

Project Details

Project ID
P100916
Status
Closed
Team Leader
Harideep Singh
Borrower 2
N/A

Country
Viet Nam
Disclosure Date
October 5, 2007
Approval Date
(as of board presentation)
May 22, 2008
Effective Date
February 10, 2009

Total Project Cost 1
US$ 280.00 million
Implementing Agency
N/A
Region
East Asia and Pacific
Fiscal Year 3
2008

Commitment Amount
US$ 200.00 million
Environmental Category
F
Environmental and Social Risk
Not Applicable
Closing Date
December 31, 2013

Last Stage Reached
BANK APPROVED
Last Update Date
January 15, 2013

Notes
1. Total project cost includes funding from World Bank and non-bank sources in US$ millions. Active and Closed projects show current commitments. Proposed (pipeline) and dropped projects show the forecast amount. The commitment amount for projects in the pipeline is indicative and may be modified during the project preparation.
2. Borrower refers to the Borrower of a Loan or Recipient of a Grant.
3. ”Fiscal Year” is the fiscal year in which the project was approved (or dropped if the status is dropped). The World Bank's fiscal year is from July 1 - June 30. For example, a fiscal year of 1996 corresponds to July 1, 1995 - June 30, 1996.

Sectors

Themes

FY17 - Finance

FY17 - Financial Infrastructure and Access15%
- FY17 - MSME Finance15%
FY17 - Financial Stability14%
- FY17 - Financial Sector oversight and policy/banking regulation & restructuring14%

FY17 - Private Sector Development

FY17 - Enterprise Development15%
- FY17 - MSME Development15%
FY17 - Jobs100%

FY17 - Urban and Rural Development

FY17 - Rural Development56%
- FY17 - Rural Markets28%
- FY17 - Rural Non-farm Income Generation28%

Project Map

Interactive Map

Finances

Financing Plan (US$ Millions)

Financier	Commitments
Borrower/Recipient	80.00
IDA Credit	200.00

Total Project Financing (US$ Millions)

Product Line	IBRD/IDA
IBRD Commitment	N/A
IDA Commitment	200.00
IBRD + IDA Commitment	200.00

Lending Instrument
Grant Amount	N/A
Total Project Cost**	280.00

Summary Status of World Bank Financing (US$ Millions) as of July 31, 2025

No data available.

Detailed Financial Activity as of July 31, 2025

Download:

Period	Financier	Transaction Type	Amount (US$)
Mar 15, 2015	IDA-44470	Int Charges	632,231.40
Sep 15, 2014	IDA-44470	Int Charges	7,821.76
Sep 15, 2014	IDA-44470	Int Charges	7,821.76
Sep 15, 2014	IDA-44470	Int Charges	716,127.94
Sep 15, 2014	IDA-44470	Int Charges	716,127.94
Mar 15, 2015	IDA-44470	Int Charges	21,881.56
Mar 15, 2015	IDA-44470	Int Charges	21,881.56
May 22, 2008	IDA-44470	Loan Commitment	200,000,000.00
Sep 15, 2022	IDA-44470	Loan Repay	3,209,873.00
Sep 15, 2022	IDA-44470	Int Charges	556,065.44
Sep 15, 2022	IDA-44470	Int Charges	556,065.44
Sep 15, 2022	IDA-44470	Loan Repay	85,329.52
Sep 15, 2023	IDA-44470	Loan Repay	3,304,890.20
Sep 15, 2023	IDA-44470	Loan Repay	50,902.47
Sep 15, 2023	IDA-44470	Int Charges	541,121.56
Mar 15, 2023	IDA-44470	Loan Repay	42,827.88
Mar 15, 2023	IDA-44470	Loan Repay	3,344,825.00
Mar 15, 2023	IDA-44470	Int Charges	558,962.75
Mar 15, 2023	IDA-44470	Int Charges	558,962.75
Sep 15, 2023	IDA-44470	Int Charges	541,121.56
Mar 15, 2024	IDA-44470	Int Charges	533,699.60
Mar 15, 2024	IDA-44470	Int Charges	533,699.60
Mar 15, 2024	IDA-44470	Loan Repay	3,282,807.00
Mar 15, 2024	IDA-44470	Loan Repay	105,762.06
Sep 15, 2020	IDA-44470	Loan Repay	1,796,760.50
Sep 15, 2020	IDA-44470	Int Charges	603,454.40
Sep 15, 2020	IDA-44470	Int Charges	603,454.40
Mar 15, 2021	IDA-44470	Int Charges	45,820.61
Mar 15, 2021	IDA-44470	Int Charges	45,820.61
Mar 15, 2021	IDA-44470	Loan Repay	1,817,551.40
Sep 15, 2020	IDA-44470	Loan Repay	5,726.14
Mar 15, 2021	IDA-44470	Int Charges	647,502.75
Mar 15, 2021	IDA-44470	Int Charges	647,502.75
Sep 15, 2021	IDA-44470	Loan Repay	3,607,839.80
Sep 15, 2021	IDA-44470	Loan Repay	20,952.08
Sep 15, 2021	IDA-44470	Int Charges	635,324.10
Sep 15, 2021	IDA-44470	Int Charges	635,324.10
Mar 15, 2022	IDA-44470	Int Charges	4,111.31
Mar 15, 2022	IDA-44470	Int Charges	4,111.31
Mar 15, 2022	IDA-44470	Loan Repay	3,510,029.20
Mar 15, 2022	IDA-44470	Int Charges	605,480.06
Mar 15, 2022	IDA-44470	Int Charges	605,480.06
Sep 18, 2018	IDA-44470	Int Charges	9,576.85
Sep 18, 2018	IDA-44470	Loan Repay	1,782,955.80
Sep 18, 2018	IDA-44470	Int Charges	668,608.40
Sep 18, 2018	IDA-44470	Int Charges	668,608.40
Mar 15, 2019	IDA-44470	Loan Repay	1,229.43
Mar 15, 2019	IDA-44470	Loan Repay	1,770,364.10
Mar 15, 2019	IDA-44470	Int Charges	110.72
Mar 15, 2019	IDA-44470	Int Charges	110.72
Mar 15, 2019	IDA-44470	Int Charges	657,704.06
Mar 15, 2019	IDA-44470	Int Charges	657,704.06
Sep 15, 2019	IDA-44470	Loan Repay	5,164.64
Sep 15, 2019	IDA-44470	Loan Repay	1,742,012.10
Sep 15, 2019	IDA-44470	Int Charges	642,087.50
Sep 15, 2019	IDA-44470	Int Charges	642,087.50
Mar 15, 2020	IDA-44470	Int Charges	637,845.06
Mar 15, 2020	IDA-44470	Int Charges	637,845.06
Mar 15, 2020	IDA-44470	Loan Repay	20,131.38
Mar 15, 2020	IDA-44470	Loan Repay	1,733,394.50
Mar 15, 2017	IDA-44470	Int Charges	2,960.17
Mar 15, 2017	IDA-44470	Int Charges	2,960.17
Mar 15, 2017	IDA-44470	Int Charges	643,945.10
Mar 15, 2017	IDA-44470	Int Charges	643,945.10
Sep 15, 2017	IDA-44470	Int Charges	662,654.90
Sep 15, 2017	IDA-44470	Int Charges	662,654.90
Sep 15, 2017	IDA-44470	Int Charges	790.90
Sep 15, 2017	IDA-44470	Int Charges	790.90
Mar 15, 2018	IDA-44470	Int Charges	16,237.14
Mar 15, 2018	IDA-44470	Int Charges	16,237.14
Mar 15, 2018	IDA-44470	Int Charges	683,487.30
Mar 15, 2018	IDA-44470	Int Charges	683,487.30
Sep 18, 2018	IDA-44470	Int Charges	9,576.85
Sep 15, 2015	IDA-44470	Int Charges	27,020.31
Sep 15, 2015	IDA-44470	Int Charges	27,020.31
Sep 15, 2015	IDA-44470	Int Charges	639,837.00
Sep 15, 2015	IDA-44470	Int Charges	639,837.00
Mar 15, 2016	IDA-44470	Int Charges	6,072.51
Mar 15, 2016	IDA-44470	Int Charges	6,072.51
Mar 15, 2016	IDA-44470	Int Charges	660,099.56
Mar 15, 2016	IDA-44470	Int Charges	660,099.56
Sep 15, 2016	IDA-44470	Int Charges	4,929.55
Sep 15, 2016	IDA-44470	Int Charges	4,929.55
Sep 15, 2016	IDA-44470	Int Charges	665,069.44
Sep 15, 2016	IDA-44470	Int Charges	665,069.44
Sep 10, 2013	IDA-44470	Loan Disb	215,348.95
Dec 10, 2013	IDA-44470	Loan Disb	500,000.00
Oct 15, 2013	IDA-44470	Loan Disb	240,096.86
Nov 22, 2013	IDA-44470	Loan Disb	434,964.44
Sep 15, 2013	IDA-44470	Int Charges	15,007.60
Sep 15, 2013	IDA-44470	Int Charges	15,007.60
Sep 15, 2013	IDA-44470	Int Charges	693,061.30
Sep 15, 2013	IDA-44470	Int Charges	693,061.30
Dec 12, 2013	IDA-44470	Loan Disb	140,164.19
Jan 27, 2014	IDA-44470	Loan Disb	124,720.85
Dec 3, 2013	IDA-44470	Loan Disb	245,007.02
Mar 15, 2014	IDA-44470	Int Charges	9,741.57
Mar 15, 2014	IDA-44470	Int Charges	9,741.57
Mar 15, 2014	IDA-44470	Int Charges	731,171.44
Mar 15, 2014	IDA-44470	Int Charges	731,171.44
May 7, 2014	IDA-44470	Loan Disb	-10,007.43
May 7, 2014	IDA-44470	Loan Disb	-511,751.00
May 9, 2014	IDA-44470	Loan Disb	-697.69
May 9, 2014	IDA-44470	Loan Cancel	718,159.44
Mar 15, 2015	IDA-44470	Int Charges	632,231.40

Footnotes

Ratings

IMPLEMENTATION RATINGS

Name	Review	Date
Overall Implementation Progress (IP)	Satisfactory	2013-10-12
Progress towards achievement of PDO	Satisfactory	2013-10-12
Procurement	Satisfactory	2013-10-12
Project Management	Satisfactory	2013-10-12
Overall Safeguards Rating	Satisfactory	2013-10-12
Counterpart Funding	Highly Satisfactory	2013-10-12
Financial Management	Satisfactory	2013-10-12
Monitoring and Evaluation	Satisfactory	2013-10-12

COMPLETION RATINGS

INDICATOR	IMPLEMENTATION COMPLETION & RESULTS REPORT: 06-22-2014
Outcomes
Risk to Development Outcome	Substantial
Bank Performance
Borrower Performance
Government Performance
Implementing Agency

INDEPENDENT EVALUATION RATINGS

INDICATOR	ICR REVIEW: 12-29-2014	PROJECT PERFORMANCE ASSESSMENT REPORT:
Outcome Rating	Satisfactory	N/a
Risk To Development Outcome	Moderate	N/a
Bank Performance	Moderately Satisfactory	N/a
Borrower Performance	Moderately Satisfactory	N/a
Government Performance	Moderately Satisfactory	N/a
Implementing Agency	Moderately Satisfactory	N/a
Icr Quality	Satisfactory	N/a
M&e Quality	Substantial	N/a

Results Framework

PROJECT DEVELOPMENT OBJECTIVE INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Cumulative investments made by rural enterprises as a result of the project (US$million)	Value	0	382	270
	Date	February 10, 2009	May 31, 2013	December 31, 2013
	Comment		The December 2013 target is investments aggregating USD270 million. Actual achievement is already 141% of this end-of-projecttarget.

Incremental increase in employment as a result of sub-project investments (thousands)	Value	0	110-169	100
	Date	February 10, 2009	May 31, 2013	December 31, 2013
	Comment		Cumulative target up to December 2012 is 80,000 incremental jobs. Based on three different estimates, the incremental jobscreatedrange between 98,000 and 153,000. The 100,000 end-of-project incremental jobs target is already realized.

INTERMEDIATE RESULTS INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Cummulative volume of medium or long term loans disbursed (US$ millions)	Value	0	175	175
	Date	February 10, 2009	June 3, 2013	December 31, 2013
	Comment		Cumulative target up to The project has already disbursed the December 2013 of USD175 million for the Rural Development Fund.Additional allocation is expected from TA component to this fund.

Number of borrowers (a measure of the effectiveness of targeting SMEs)	Value	0	102,090	59,600
	Date	February 10, 2009	June 3, 2013	December 31, 2013
	Comment		Achievement has already exceeded the end-of-project target for both components.	The end-of-project target includes 43,600 borrowers under the RDF and 16,000 under the Micro-finance Loan Fund

Overdue loans/loan outstanding	Value	less than 5% of sub-loans overdue	Less than 1%	less than 5% of sub-loans overdue
	Date	February 10, 2009	June 3, 2013	December 31, 2013
	Comment		Recurrent target is set as less than 5%. The actual figures are significantly lower at less then 0.57% for medium-long termloans,and less then 0.19% for short-term loans

Cummulative number of microfinance sub-loans to first time borrowers (minimum number of loans)	Value	0	49,566	16,000
	Date	February 10, 2009	June 3, 2013	December 31, 2013
	Comment		The above figure relates to first time borrowers for both components. Cumulative target up to December 2013 for Micro-finance Loancomponent is 16,000. The actual achievement has already exceeded this end-of-project target under the MLF component.

Share of microfinance sub-loans to women borrowers (percentage)	Value	Greater than 40% over life of project	50%	Greater than 40%
	Date	February 10, 2009	June 3, 2013	December 31, 2013
	Comment		The target is set at a cumulative figure of 40%. The actual achievement is well above the minimum level.

Compliance accreditation criteria or with a time-bound Institutional Development Plan agreed with IDA...	Value	0	Satisfactory	Satisfactory
	Date	February 10, 2009	June 3, 2013	December 31, 2013
	Comment		This covenant relates to BIDV, the wholesale bank that is managing the lines of credit under the project. BIDV complies with allthe accreditation criteria and never had to prepare any IDP under the project.

Participating Financial Institutions - Compliance accreditation criteria or with a time-bound Institutional Development Plan agreedwith IDA	Value	0	Partially Achieved. Overall, 12 of the 30 financia	Satisfactory
	Date	February 10, 2009	June 3, 2013	December 31, 2013
	Comment		For the 18 financial institutions not meeting all five criteria, the review and IDP implementation process is underway.	Satisfactory

Cummulative number of bankers trained in various fields of banking	Value	0	13,120	4,000
	Date	February 10, 2009	June 3, 2013	December 31, 2013
	Comment		The target is set at 4,000 for December 2013. Actual achievement has already exceed this end-of-project target of training 4,000staff.

Training materials prepared for SMEs training modules	Value	0	Materials prepared	Materials prepared
	Date	February 10, 2009	June 3, 2013	May 20, 2011
	Comment		Training materials for SMEs were already prepared by the end of 2012. A service provider has been selected to train trainers.