JBIC and VCB signed a contract to finance the RE development in Vietnam
08:15 | 03/04/2023
The green credit is an inevitable direction of the global financial institutions. For the green credit, Vietcombank always pays the special attention and resources and practically became a pioneer commercial bank in Vietnam providing loans to finance businesses in this area.
|JBIC and Vietcombank signed a contract to finance 300 million USD to support renewable energy projects in Vietnam.
After successfull implementing a 200 million USD credit package signed in June 2019, JBIC and the major Japanese banks continuously provided a second loan credit of 300 million USD. That further affirmed the prestige and trust of Vietcombank in the international financial institutions. At the same time, that also affirms the close cooperation relationship between JBIC and Vietcombank in contributing to sustainable economic development, promoting regional integration and environmental protection in Vietnam. Speaking at the ceremony, Mr. Nguyen Thanh Tung - General Director of Vietcombank said: The signing ceremony of signing a financial contract capital of 300 million USD between Vietcombank and JBIC to support renewable energy projects is an important milestone to affirm the positive assessment from international financial institutions for the stability and development of Vietnam's economy, as well as the confidence in Vietnam's banking and financial activities. The loan will support green energy and environmental protection projects in Vietnam - one of the areas that the Vietnamese Government is very interested in today.
On the basis of the terms of the contract Vietcombank will corporate with JBIC to optimize the positive social and environmental impacts of the loan.
Mr. Uchida Makoto - Managing Director, Global Head of Finance, Infrastructure and Environment at JBIC said: The loan is suitable with the concept of " Asian Community Zero Emissions " (AZEC - Asia Zero Emissions Community) headed by the Japanese Government to pursue pursuit the goals of carbon neutrality and economic growth depending on the circumstances of each country.
This loan is also in line with the "Just Energy Transition Partnership" (JETP) that was agreed by the Government of Vietnam and partner countries, including Japan and the United States in December/ 2022. And this is also the first loan provided by JBIC within the framework of the “Vietnam Climate Finance Framework” (VCFF), which was announced within the framework of the Tripartite Infrastructure Partnership including the Japan, Australia and the United States (TIP) in January 2023.
According to JBIC assessment: This is a cooperation activity suitable with the orientations of the two Governments of Japan and Vietnam, of the State Bank of Vietnam, as well as the development orientation of Vietcombank. Implementing this project helps to further tighten the cooperation relationship between JBIC and Vietcombank, thereby that will develop the friendly cooperation relationship between the two countries Vietnam and Japan, contributing to solutions to combat climate change that the Government of Vietnam is trying to implement.