Circular No. 09/2009/TT-BKH of October 30, 2009, guiding the implementation of the specialized credit program funded with loans of the japan international cooperation agency

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Issuing body:	Ministry of Planning and Investment	Effective date:	Known Please log in to a subscriber account to use this function. Don’t have an account? Register here
Official number:	09/2009/TT-BKH	Signer:	Truong Van Doan
Type:	Circular	Expiry date:	Updating
Issuing date:	30/10/2009	Effect status:	Known Please log in to a subscriber account to use this function. Don’t have an account? Register here
Fields:	Finance - Banking, Investment

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THE MINISTRY OF PLANNING AND INVESTMENT -------	SOCIALIST REPUBLIC OF VIET NAM Independence - Freedom – Happiness ---------
No. 09/2009/TT-BKH	Hanoi, October 30, 2009

CIRCULAR

GUIDING THE IMPLEMENTATION OF THE SPECIALIZED CREDIT PROGRAM FUNDED WITH LOANS OF THE JAPAN INTERNATIONAL COOPERATION AGENCY

THE MINISTRY OF PLANNING AND INVESTMENT

Pursuant to the Government's Decree No. 116/2008/ND-CP of November 14, 2008, defining the functions, tasks, powers and organizational structure of the Ministry of Planning and Investment;
Pursuant to the Government's Decree No. 131/2006/ND-CP of November 9, 2006, promulgating the Regulation on management and use of official development assistance (ODA);
Pursuant to the provisions of specialized credit agreements (below referred to as the agreements) concluded between the Government of the Socialist Republic of Vietnam and the Japan Bank for International Cooperation (JBIC), now the Japan International Cooperation Agency (JICA),
The Ministry of Planning and Investment guides the implementation of the projects under the specialized credit program as follows:

Part I

GENERAL PROVISIONS

1. The specialized credit program (below referred to as the Program) regulated by this Circular is the Program funded with JICA loans for implementing hunger elimination and poverty reduction infrastructure projects in localities nationwide in the domains specified in the agreements.

2. The Program's loans shall be included in the state budget and allocated as development investment for localities to build infrastructure for the purposes of raising living standards for people and reducing poverty.

3. The management and implementation of the Program's projects comply with the Vietnamese Government's current regulations on state budget decentralization, investment and construction management, bidding, investment supervision and community-based supervision, and other provisions of the agreements.

4. JICA loans shall be paid for projects based on their practical implementation progress after the take-over test and certification of volumes and value according to current domestic procedures for capital construction payment, regardless of annually allocated capital plans.

5. JICA loans may be used only for.

a/ Payment for the value of volumes of construction and installation and procurement of domestic supplies and equipment of the projects;

b/ Import of domestically unavailable goods or equipment for the projects;

c/ Hiring of consultants for the Program;

d/ Payment of charges to foreign banks and for withdrawing JICA loans.

After finishing the process of capital withdrawal under the agreements, the Program Management Board shall notify expenses mentioned at Item (c) to project management units and project owners for work construction accounting and finalization.

The JICA loan amount notified to each project is the maximum withdrawal limit of capital. Any amount incurred in excess of this limit in the implementation process shall be covered by the local budget. The use of post-bidding surplus capital of each project must follow the steps applicable to a new project.

6. JICA loans must not be used to pay:

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Circular No. 09/2009/TT-BKH of October 30, 2009, guiding the implementation of the specialized credit program funded with loans of the japan international cooperation agency

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