Vietnam Prosperity Joint Stock Commercial Bank (VPBank) has secured a $150 million credit agreement with the Japan Bank for International Cooperation (JBIC) to finance renewable energy and power transmission projects in Vietnam.
The collaboration between VPBank and JBIC strengthens the economic ties between Vietnam and Japan. This partnership is part of the Asia Zero Emissions Community (AZEC) initiative and the Just Energy Transition Partnership (JETP) program.
The Vietnamese government has made significant progress in transitioning to clean energy, as outlined in the eighth Power Development Plan (PDP 8). The $150 million loan will support power grid development and renewable energy projects in Vietnam.
The loan agreement reflects JBIC's commitment to environmental protection and sustainable development. VPBank has previously secured sustainable finance loans from international institutions, demonstrating its commitment to environmental and social initiatives.
The $150 million loan agreement contributes to Vietnam's journey towards achieving its net-zero emissions target by 2050. This reinforces the economic relationship between Vietnam and Japan and supports Vietnam's goal of sustainable development.