(Japanese Note)Saigon, April 18, 1970

　Excellency,I have the honour to refer to the recent negotiations held between the Government of Japan and the 6overnment of the Republic of Vietnam in response to the aid request by the Government of the Republic of Vietnam to the Government of Japan for the construction of housing for refugees and, noting the statement made by the representative of the Government of the Republic of Vietnam in the course of the said negotiations that the Government of the Republic of Vietnam would promptly finish constructing the s aid housing with the assistance of the Government of Japan and would undertake its appropriate management in accordance with its stated purpose, have further the honour to propose the following arrangements:

1. The Government of Japan will extend to the Government of the Republic of Vietnam, in accordance with the relevant laws and regulations of Japan, a grant up to two hundred and forty million yen (240,000,000), which will be made available during the period between the date of coming into force of the present arrangements and 31 March, 1971, in order to assist the Government of the Republic of Vietnam in constructing housing for refugees with an attached clinic (hereinafter referred to a "the housing project") in Saigon City.

2. The gtant will be used by the Government of the Republic of Vietnam for the purchase of products of Japan and services of Japanese people necessary for the purpose of on structing the housing project, except that, within the limits of eighty million yen, it may be used for the purchase of products and services other than Japanese necessary for the same purpose.

3. The General Housing Office of the Republic of Vietnam will enter into contracts in Japanese yen with Japanese nationals or juridical persons controlled by Japanese nationals (hereinafter referred to 9s "the Japanese nationals etc. ") for the purchase of the products and services referred to in the preceding paragraph (such contracts will be hereinafter referred to as "the Contracts"). The Contracts will be verified by the Government of Japan to be eligible for the grant.

4. The Grant referred to in paragraph 1 will be executed by the Government of Japan making payments in Japanese yen to cover the obligations incurred under the Contracts by the General Housing Office to a grant account to be opened in the head office of the Bank of Tokyo, Ltd. in the name of the Government of the Republic of Vietnam.

5. The payments referred to in the preceding paragraph will be made when payment requests are presented by the Bank of Tokyo under an authorization to pay issued by the General Housing Office.

6. The purpose of the grant account referred to in paragraph 4 is only to receive the payments in Japanese yen by the Government of Japan and to pay to the Japanese nationals etc. referred to in paragraph 3.

7. In addition to the grant referred to in 1, the Government of Japan will make available to the Government of the Republic of Vietnam, in accordance with the relevant laws and regulations of Japan and the Colombo Plan procedure, medical equipments and pharmaceuticals up to the amount equivalent to twenty million yen (20,000,000), which are required for technical training at the attached clinic, during the same period as provided for in paragraph 1.

8. The Government of the Republic of Vietnam will carry out the construction of the housing project as soon as practicable and will take, inter alia, the following measures:

(a) to secure a lot of land in Saigon City necessary for the construction of the housing project, to clear the site, and to provide adequate electricity, water and other facilities:

(b) to bear all the expenses necessary. he purchase of product s and services required for the housing project other than those provided by the grant;

(c) to exempt the Japanese nationals etc. referred to in paragraph 3 from the payment of customs duties, internal taxes and other fiscal levies to be imposed in the Republic of Vietnam with respect to the supply of products and services under the grant;

(d) to take every effective measure in ensuring prompt unloading at the Port of Saigon and transportation to the construction site of the products provided by the grant.

9. The procedural details concerning the credit to and the debit from the grant account will be agreed upon through consultation between the Bank of Tokyo and the General Housing Office.

10. The two Governments will consult with each other in respect of any matter that may arise in connection with the present arrangements.

　I have further the honour to propose that the present note and Your Excellency's reply confirming on behalf of the Government of the Republic of Vietnam the above arrangements shall be regarded as constituting an agreement between the two Governments, which will enter into effect on the date of Your Excellency's reply.

　I avail myself of this opportunity to renew to Your Excellency the assurance of my highest consideration.

　(Signed) Hideo KITAHARA
Ambassador of Japan

　His Excellency
Mr. TRAN VAN LAM
Minister of Foreign Affairs

　SAIG0N

(Vietnamese Note)

　Saigon, April 8,1970

　Excellency,I have the honour to acknowledge the receipt of Your Excellency's note of today's 
date which reads as follows:

"(Japanese Note)"

　I have further the honour to confirm on behalf of my Government the foregoing arrangements and to agree that Your Excellency's note and this note shall be regarded as constituting an agreement between the two Governments,
which will enter into effect on the date of this reply.

　I avail myself of this opportunity to renew to Your Excellency the assurance of my highest consideration.

　(Signed) TRAN VAN LAM
Minister of Foreign Affairs

　His Excellency
Mr. Hideo KlTAHARA
Ambassador Extraordinary
and Plenipotentiary of Japan

　SAIGON