The US Consulate General in Ho Chi Minh City signed a deal on Friday to give a financial aid of US$593,660 to the Saigon Water Corporation (SAWACO) for the upgrading of water supply system in the city.

The assistance is meant to upgrade the information communication and technology management technology system to boost the effects in operation and planning of the Vietnamese state-owned firm, according to the press release from the US side.

“This technical assistance will help SAWACO in reaching its goal of supplying 100 percent of consumers in Ho Chi Minh City with potable water by 2025,” said Robert Ogburn, Acting Consul General of the US Consulate General in Ho Chi Minh City.

“The grant that we are signing today is further evidence of the continued partnership between our countries and highlights the priority that the US government and the US private sector have placed on their relationship with Vietnam.”

The US Trade and Development Agency (USTDA)’s regional director, Henry Steingass, noted that, “The rapid growth of the economy and population has made water supply infrastructure development a priority in Vietnam. We are pleased to support the development of SAWACO’s strategy and implementation, and to connect them with US technologies and expertise.”

The aid marks the second time the USTDA has supported SAWACO. In 2009, it funded a feasibility study to help develop a method for water treatment and sludge disposal that was completed in 2011.

SAWACO produces more than 1.2 million cubic meters per day of potable water to distribute to nearly 530,000 homes and providing piped water to an additional 20,000 new homes.

However, 38 percent of the volume of water goes to waste, according to a report by SAWACO. In 2008, the percentage of loss was 43.