The breadth of the reform undertaking and linkages among policy actions across sectors called for a comprehensive approach to dialogue and support by development partners. Several development partners withdrew or reduced their development assistance to Viet Nam, in accordance with their aid practices for middle-income countries. The number of cofinanciers peaked at 11 for Poverty Reduction Support Credits (PRSCs) 6 and 7 and has fallen since, with some impact on the total level of financing under the PRSCs. Some switched their focus to more specialized policy-based operations as deeper reforms were identified in the PRSC policy dialogue. Development partners provided additional funding for budget support while providing technical assistance to the government to support the policy dialogue in highly technical and complex areas. This dialogue, in turn, helped strengthen the institutional capacity of the ministries or agencies concerned.
Support the Implementation of the Poverty Reduction Programs IV and V