“Yen loans are part of Japan’s Official Development Assistance program and provide low-interest, long-term financing to developing countries. The loans are handled by the Japan International Cooperation Agency. The cumulative total approved for Vietnam has reached approximately 3 trillion yen ($19.6 billion).”
“Japan is looking to set up loans for several infrastructure development projects, the largest of which appears to be Hanoi Metro Line 2, which will connect the capital’s center with Noi Bai International Airport.”
“In Ho Chi Minh City, Japan expects to provide financing for the extension of the country’s first subway system, the Ho Chi Minh City Metro Line 1, which opened at the end of 2024 after about 200 billion yen in yen loans and the efforts of Japanese companies like Hitachi and Shimizu.”
“Japan also looks to provide financing for the planned O Mon 3 gas-fired power plant in the southern city of Can Tho. The plant will use gas from a field in which Japanese trading house Mitsui & Co. subsidiary Mitsui Energy Development holds interests.”