Viet Nam

IFAD Asset Request Portlet


Viet Nam


Projects Includes planned, ongoing and closed projects

US$ 763.35 million

Total Project Cost

US$ 463.49 million

Total IFAD financing


Households impacted

The Context

Two decades of rapid economic growth and market integration have transformed Viet Nam from a subsistence economy to an emerging economy of lower-middle-income status, integrated into global markets. The structure of the economy has shifted from agriculture to industry and services. 

Yet in rural areas, home to 70 per cent of the population, poverty remains a severe and chronic problem. The average income per capita there is less than 50 per cent of that in urban areas, and the rural poverty rate is nearly three times the urban rate. 

Poverty gains are fragile, and a portion of the population are living close to the poverty line. Poor and extremely poor people are concentrated in ethnic minority groups. 

Rural people have little or no savings or State support and are almost totally dependent on gathering natural resources and subsistence-level agriculture. This makes them especially vulnerable to unexpected shocks. Around 90 per cent of total spending among rural residents is for basic living costs. Most of this income stems from agriculture, forestry and aquaculture production, and from wages derived from unskilled manual labour.

Half of the nation’s poor people belong to ethnic minorities, though they represent only 15 per cent of the population. Poverty is concentrated in the upland areas of the north-east and north-west mountains, the central coastal region, and the parts of the central highlands and Mekong Delta where ethnic minorities reside. 

Improving living standards in rural areas have also brought income inequity and environmental degradation. Urbanization and industrialization often deprive poor rural people of access to land, while leaving behind unskilled labourers and unemployed youth. These marginalized groups are highly vulnerable to shocks from climate change and natural disasters, as well as economic and health shocks.

The Strategy

In Viet Nam, IFAD focuses on activities that have the greatest impact on residual poverty in rural areas, reflecting the emerging challenges and opportunities of a lower-middle-income country, a changing economic structure and growing urbanization.

Our current strategy and portfolio of programmes and projects are aimed at developing market-led innovations that aid poor people. They work by deepening institutional and policy reform at the provincial level and building capacity in districts and communes and among poor farm households. 

We are also working to incorporate IFAD-supported experience into government systems and programmes. The process aims at: 

  • integrating participatory and market-oriented local planning into the government’s socioeconomic development planning processes; 
  • capacity-building at all levels to improve the management of rural development outcomes; 
  • improving access to and quality of a variety of rural services; 
  • community-led infrastructure development; 
  • increasing market access and pro-poor value chains and sustainable livelihoods, both on and off the farm; 
  • formation and support for producer cooperatives and other common-interest groups. 

A number of IFAD-supported projects in Viet Nam also include climate change response, since the country is predicted to be significantly affected by climate change.


Results-based country strategic opportunities programme (COSOP) Arabic | English | French | Spanish

Country Facts

About 70 per cent of Vietnamese people live in rural areas and have livelihoods dependent on agriculture.

About one third of the population (around 30 million people) lives close to the poverty line. Poor and extremely poor people are mainly concentrated in ethnic minority groups. 

Since 1993, IFAD has invested US$334.5 million to finance 14 projects and programmes related to agricultural development in Viet Nam, benefiting 669,070 households.

Country documents

Related Assets

COSOP results review 2017 Type: COSOP results review (CRR)
Region: Asia and the Pacific
Socialist Republic of Viet Nam Country Strategic Opportunities Programme 2019-2025 Type: Regional and country document, Country Strategic Opportunities Programme

Expert-Country-Highrise (no delete)

Projects and Programmes

Projects Browser

PLANNED Under design after concept note approval

APPROVED Approved by the Executive Board or IFAD President

SIGNED Financing agreements signed

ONGOING Under implementation

CLOSED Completed/closed projects

No matching projects were found

Related news

Related Assets

UN Agency Deputy Head to visit Viet Nam to strengthen 25-year rural development partnership

May 2019 - NEWS
Donal Brown, Associate Vice-President of the International Fund for Agricultural Development (IFAD) is visiting the Socialist Republic of Viet Nam this week to review progress made together to improve lives and reduce poverty in rural areas.

UN Messenger for Peace, Midori, performs in poor rural communities in Viet Nam's Tuyen Quang province

December 2018 - NEWS
The world-renowned violinist and UN Messenger of Peace, Midori, will travel to rural Viet Nam this week to meet with and perform for villagers in a remote and poverty-stricken community where projects supported by the International Fund for Agricultural Development (IFAD) have been working to improve conditions.

UN agency examines approach to decentralized operations in Asia and the Pacific

July 2016 - NEWS
Hanoi, 5 July 2016 – Government representatives and agricultural development specialists will gather in Hanoi 6-7 July to discuss the International Fund

Related stories

Related Assets

Vietnam’s rice production threatened by climate change

December 2014 - STORY
Vietnam’s is the world's second largest exporter of rice and 80 percent of it is grown in the Mekong Delta, a vast flood plain and one of Asia's most fertile. However, the future of rice production is threatened because of rising sea levels and temperature increases attributed to climate change.

Bringing the benefits of agricultural insurance to smallholders in Viet Nam: Building awareness and understanding

November 2021 - STORY
Between sowing their seeds and selling their harvest, smallholder farmers in developing countries face a multitude of potentially devastating risks. In Viet Nam, as in countries around the world, many of the most severe threats are climate-related, including storms, floods, excessive heat, frost and drought.

Free-range chicken farming a success in remote Viet Nam

July 2020 - STORY
At first, when Nguyen Thi Bich decided to try her hand at highland chicken farming, she didn’t quite know what to expect.

Related blogs

Related Assets

Assessment of IFAD’s policy impact in Asia

July 2018 - BLOG
IFAD understands that projects alone cannot eradicate rural poverty or generate rural transformation because, inevitably, they reach a limited number of people.

Changing lives in times of uncertainty: how innovative agriculture builds resilience

March 2020 - BLOG
As countries prepare for the pandemic the mandate of a rural development organization may seem to some not particularly relevant to the current crisis.

Enabling farming families to fight climate change: the key to survival

November 2019 - BLOG
IFAD has adapted its development strategies for Viet Nam from focusing on boosting agricultural production to commercialisation and sustainability of smallholders.

Related publications

Related Assets

AVANTI country summaries

June 2021
The AVANTI country summaries provide insights and takeaways from AVANTI experiences at the national level.

Stories from the field: Innovative agriculture

March 2020
Unlocking opportunities for rural entrepreneurs and farmers in the sub-Mekong region.

Grant Results Sheet: ICRAF - Climate-smart, Tree-based, Co-investment in Adaptation and Mitigation in Asia (Smart Tree-Invest)

September 2018
The grant mainstreamed climate-smart, tree-based agricultural good practices into the climate adaptation and mitigation programmes of governments, NGOs and the private sector in Indonesia, the Philippines and Viet Nam.

Related videos

Related Assets

Viet Nam: Adapting in the Delta

May 2014 - VIDEO
Vietnam is the world's second largest exporter of rice and 60 percent of it is grown in the Mekong Delta. But now farmers in at least two provinces say the future of rice production is threatened because of rising sea levels and temperature increases attributed to climate change.