Denmark supports Vietnam’s private sector

 This very positive overall message was clear at the closing ceremony held last week in Hanoi for the Danish GCF Programme, which has focused to increase the competitiveness of non-public Vietnamese businesses in export-oriented business sectors in eight provinces.

“The results achieved are impressive. More than 40 projects have been supported and nearly 30,000 jobs have been created. More than 60,000 people have been trained, income for the farmers and households has increased significantly and an important additional export income for Vietnam has been generated,” said Danish Ambassador to Vietnam John Nielsen.

GCF supported innovations and initiatives to develop commercially viable business services for a large number of small businesses, household enterprises and farmers that have a long-lasting positive impact on development of export-oriented sectors and value chains.

Denmark is still, by far, the biggest provider of grants, almost 25 per cent of the total, among all EU member states to Vietnam.

During 2014-2015 Denmark will disburse up to $90 million in official development assistance (ODA) funds to Vietnam.  The main areas for the Danish support to Vietnam are green growth, climate, private sector development, water and sanitation, culture and governance activities.

Since 1994 Denmark has provided Vietnam with more than $1.3 billion in ODA. Through this support Denmark has contributed to the strong growth and economic development which has taken place in Vietnam.

GCF was designed and implemented to assist the government of Vietnam in strengthening the capacities of domestic enterprises to structurally transform into competitive players in the global market.

With a total grant from Denmark of more than $11 million the Danish and Vietnamese governments agreed to support the competitiveness of the export oriented sectors in the period from 2011 to 2014.

GCF had provided grants for 42 projects in the eight target provinces of Nghe An, Thanh Hoa, Khanh Hoa, Phu Yen, Lam Dong, Dak Lak, An Giang and Can Tho.

The facility is anchored in the Central Institute of Economic Management (CIEM) under the Ministry of Planning and Investment. The facility’s highest decision-making body is a steering committee which is composed of one representative from the Embassy of Denmark and one from the CIEM.