December 12, 2013 - The World Bank Board of Executive Directors today approved a credit of US$ 250 million to improve the efficiency and sustainability of the road asset management and maintenance practices in Vietnam.
The funding, to support the Vietnam Road Asset Management Project - VRAMP, will come from the International Development Association, the World Bank Group’s funding resource for low income country.
The Project will help develop a Road Asset Management System, advancing the reform agenda with increased usage of performance-based contracts; and support the performance of the Road Maintenance Fund. It is anticipated that successful implementation of the VRAMP will lead to a more effective road preservation strategy, a more optimal road asset management, and the efficient programming of road network operations.
The project will directly benefit road users in 13 provinces in northern Vietnam that will be improved and maintained under the project. Improvement and preventive maintenance of these sections will result in reduced vehicle operating costs, a reduction of travel time, and a reduction in road accidents due to improved road safety features.
It will improve critical links in the national highway network and increase efficiency of public expenditure on road asset management through targeting of funding to sections of the highway network that are most in need.