VietNamNet Bridge – Japan still maintains its non-refundable aid and technical assistance for Viet Nam, confirmed an official from the Ministry of Planning and Investment (MPI).

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Earlier, Japan announced that it will temporarily stop disbursing the loans for projects related to the Japan Transportation Consultants, Inc. (JTC) to deal with the alleged graft scandal of the JTC, Deputy Director of the MPI Department for Foreign Economic Relations Nguyen Xuan Tien said at a press conference on June 4.

Viet Nam Railways’ new projects will be considered on a specific condition after the individuals related to the JTC case are strictly treated, Tien said.

Japan will not suspend all the Official Development Assistance (ODA), it only postpones part of the US$1-billion ODA pledged for Viet Nam this year.

The MPI official expressed hope that in this June, the two nations will work together to strictly deal with negative cases and outline measures to prevent similar cases, facilitating the ODA disbursement.

To raise the effectiveness of ODA use in the future, Mr. Tien revealed that in addition to anti-corruption measures, the ministry will work out an inspection process for ODA projects, especially those sponsored by Japan, as well as amend regulations pertaining to investment, business and bidding to make tenders and business finance transparent.

Earlier, the Yomiuri Shimbun of Japan reported that JTC President Tamio Kakinuma admitted the Tokyo-based railway consultant firm had offered corrupt financial incentives to a number of Vietnamese railway officials to win the bidding package for a Japanese ODA-funded railway project in Viet Nam.

Tamio Kakinuma confessed to the alleged bribes during questioning by the special investigation squad of the Tokyo District Public Prosecutors Office.

Several Japanese newspapers reported JTC had paid Vietnamese officials ¥ 80 million worth of kickbacks to win a ¥ 4.2 billion railway contract.

Source: VGP