Vietnam Gets $1 Billion Loan From US Ex-Im Bank For Wind Power Projects

Vietnam Development Bank has signed a letter of credit with the Export-Import Bank of the U.S. for a $1 billion loan to finance the development of wind energy projects in the Mekong Delta region during the period 2011-2015, the Vietnamese government said in a statement issued late Tuesday.

Ex-Im Bank will make loans and may also serve as guarantor when VDB borrows from international banks. The loans will be used to pay for the construction and equipment of wind turbines projects to be built in Vietnam.

In the first wind farm in Bac Lieu Province, borrowings from Ex-Im Bank will be used to pay for the purchase of wind turbines from U.S. firm General Electric. No details were provided on the financing, or generation capacity, of the wind farm.

The government of Vietnam said that it would boost the development of wind power in provinces such as Bac Lieu, Soc Trang and Kien Giang in the Mekong Delta region.