Supporting Viet Nam's journey to water security: A transformative odyssey

Viet Nam’s quest for water security and the World Bank’s support for this effort have evolved significantly over the past three decades. As new and more complex challenges have emerged, the Government of Viet Nam and the World Bank’s partnership has adapted and evolved. From the early days of developing water resources to serve cities and towns, to the rehabilitation of irrigation systems to spur regional growth and investments in urban wastewater management, drainage, rural water supply, and dam restoration, the journey has been extensive. Today, the focus has shifted towards building resilience and mitigating the impacts of a changing climate.

Progress has been notable in urban areas where nearly all residents enjoy access to reliable water services. But the picture in rural areas is less rosy — only about 44% of the rural population, approximately 28.5 million people, can access water from centralized supply systems. Shockingly, 56% of rural dwellers (around 36.3 million individuals) are reliant on unsafe water from household supply structures.  The threat from pollution is serious, with only 15% of municipal wastewater treated. 

Climate change further exacerbates the situation, with risks from sea level rise, severe storms, flooding, and salination, according to the Global Water Security and Sanitation Partnership. Inefficient water management in agriculture also contributes to the country’s greenhouse gas emissions. 

Viet Nam’s water challenges can jeopardize future growth by approximately 6% annually by 2035. The major water-related challenges are:

● Too little: Water stress during the dry season in key river basins that support 80% of the country’s GDP is predicted to worsen in the next decade. 

● Too dirty: Pollution is one of the greatest threats to the national economy and human health, with an estimated GDP reduction of 3.5 % annually by 2035. 

● Too much: Viet Nam faces increasing risks and costs from climate hazards, especially storms and floods.  

Unless decisive steps are taken, water, which has been a driving force behind Viet Nam’s rapid growth, can become a hindrance.  Viet Nam’s ambition to become an upper middle-income country by 2030 and a high-income economy by 2045 rests on its ability to grow not only faster, but better.  Ensuring water security – sustainably managing water resources; improving the delivery of water services for agriculture, energy, industry, domestic and other users; and building resilience and climate change mitigation – will be central to this process.

A World Bank governance study, Viet Nam: Toward a Safe, Clean, and Resilient Water System (2019), supported the Government of Viet Nam to develop and implement key recommendations on institutions, infrastructure, incentives and information. The study, backed by the Partnership, also provides a vehicle for leveraging and integrating innovation into operations and policy and offering flexibility to adapt to uncertainties, respond to new and emerging issues, and advance dialogue across Ministries on water security.

Specifically, the Partnership supports the development of the Integrated Mekong Delta Regional Master Plan and its implementation, the revision of the National Law on Water Resources, as well as technical assistance on Nature-based solutions for integrated urban flood management in Ho Chi Minh City and Phu Quoc island. The Partnership promotes private sector participation in water pollution management and greenhouse gas emission reduction in agriculture.  As the sector accounts for a third of Viet Nam’s greenhouse gas emissions, this effort will be fundamental for the preparation of the country’s low carbon agricultural transformation.

The Partnership is actively involved in improving water use efficiency in agriculture, designing and implementing measures to enhance the resilience of rural water systems, and contributing to the design and sustainability of World Bank lending operations in the sector. These efforts are essential for addressing water-related challenges in the Viet Nam Mekong Delta Region. Analytical work and collaboration in these areas are already making positive impacts in the area.

For instance, the Results-based Scaling up Rural Water Supply and Sanitation project connected 1.2 million people to sustainable water systems, and delivered the construction of 288,000 new water supply connections. The project also enabled 4.2 million people in more than 700 communes to gain access to commune-wide sanitation and built improved sanitary latrines in 300,000 households and 1,600 schools. Similarly, the Dam Rehabilitation and Safety Improvement project improved the safety conditions of 436 irrigation dams which will equip them to cope with future threats from climate change and global warming. This effort is now protecting 4.3 million people from potential dam failures. On the other hand, the Vinh Phuc Flood Risk and Waste Management project aims to provide improved urban living conditions and protection from flood risks for more than 632,000 people and improved sanitation facilities for 121,000 people.

Transitioning towards a water secure Viet Nam

Achieving water security requires a transformational shift in Viet Nam’s water sector. In 2022, the Government of Viet Nam endorsed Conclusion 36 on “Ensuring Water Security and Safety of Dams and Reservoirs by 2030, with a vision to 2045,” with the focus on key elements for the transition to a clean, resilient and inclusive economy. 

The World Bank, through the Global Water Security and Sanitation Partnership, continues to support the Government of Viet Nam on this journey, with an emphasis on integrated water resources management to address multiple and inter-related water issues, and improvement to water services to both urban and rural areas. It also supports the Government in addressing the devastating effects of pollution, floods and droughts that are exacerbated by climate change, while at the same time contributing to climate change mitigation.  

The Global Water Security and Sanitation Partnership’s current support is framed around three main pillars, with climate adaptation and mitigation cutting across all. The first pillar is sustaining water resources and managing water pollution, the second pillar is increasing water productivity and efficiency, and the third is ensuring water security for urban and rural settlements. 
Viet Nam has made progress against most of the Sustainable Development Goal 6.  Partnerships such as GWSP have played a critical role in supporting a water-secure Viet Nam. Leveraging new sources of finance, including from the private sector, can help address major challenges and support the role of water security in Viet Nam’s ambitions to become a clean, resilient and inclusive economy.

Related Links: 

Vietnam : Toward a Safe, Clean, and Resilient Water System