Banks lend significant amounts to green projects
One example, BIDV has launched a credit package of up to 10 trillion VND for enterprises to invest in new green projects, to expand such kinds of projects or renovate existing projects into green ones.
By participating in the package, enterprises can access preferential loan interest rates, receive quick and timely disbursement, and get consulting support from a team of competent experts. The package will last until December 31, 2025.
Previously, BIDV also launched a green credit package of 4.2 trillion VND specifically for textile and garment enterprises to participate in the green transition process.
TPBank recently announced a credit package of up to 5 trillion VND exclusively for enterprises with green plans and projects. Notably, the bank applies a zero percent interest rate in the first three months for renewable and clean energy projects, transportation, agriculture, sustainable water and waste management, and green construction and real estate.
TPBank implements this policy to fulfill its commitment to environmental risk management and its role in financing the transition to a sustainable and low-carbon economy.
At VietinBank, 5 trillion VND is also allocated to a green finance programme named Green UP to provide capital for projects and plans that benefit the community and society.
Meanwhile, MSB has recently implemented a green credit package of 3 trillion VND with competitive interest rates to finance business capital needs and accompany enterprises in sustainable growth.
Previously, ACB also launched a 2 trillion VND green and social credit package with many incentives for enterprises with production and business plans that benefit the environment and society.
In addition to the above credit packages, many other commercial banks, such as Agribank, MBBank, HDBank, and Nam A Bank, have incentive credit programmes for green enterprises and projects.
According to the State Bank of Vietnam (SBV), the green outstanding loans in the banking system achieved an average growth rate of more than 22% per year in the 2017-2023 period. As of the end of March 2024, 47 credit institutions reported a total green outstanding loan of more than 636.96 trillion VND, accounting for about 4.5% of the total outstanding loan of the entire economy.
The SBV recently issued Decision No 1663/QD-NHNN, which aims to make it easier to access green capital for green projects. Under the decision, the SBV requires all credit institutions to participate.
According to the Deputy Director of the SBV’s HCM City Branch, Nguyen Duc Lenh, the requirement to develop green banking and green credit is not only the task of commercial banks, but also the task of all credit institutions, including non-bank credit institutions including finance companies, financial leasing companies and people's credit funds. This helps to enhance the responsibility and initiative of the entire credit institution system in developing green credit./.
Related News
Latest News
Stock market sees notable recovery amid ongoing uncertainties
14:14 | 14/10/2024 Finance
E-commerce tax collection in Hanoi increased by 265%
10:28 | 13/10/2024 Finance
Solving necessary and urgent issues in financial and budgetary sectors
10:57 | 12/10/2024 Finance
Banks reduce profit expectations for 2024
14:54 | 11/10/2024 Finance
More News
A new tax management approach needed to promote business household development
09:19 | 11/10/2024 Finance
Fifteen Vietnamese banks named in the global top 500 banking brands
15:23 | 10/10/2024 Finance
Digital infrastructure strategy approved
15:21 | 10/10/2024 Finance
Drastically handle tax debts in the last months of the year
09:41 | 10/10/2024 Finance
Realized social investment capital is estimated at VND2,417.2 trillion
14:22 | 09/10/2024 Finance
State-owned banks struggle to increase capital
14:19 | 09/10/2024 Finance
State budget revenue reached 85.1% of estimate
10:17 | 08/10/2024 Finance
Budget expenditure in the first three quarters of 2024 reached about VND 1,256.3 trillion
10:13 | 08/10/2024 Finance
Increasing institutional investors – improving quality of corporate bond market
10:52 | 07/10/2024 Finance
Your care
Stock market sees notable recovery amid ongoing uncertainties
14:14 | 14/10/2024 Finance
E-commerce tax collection in Hanoi increased by 265%
10:28 | 13/10/2024 Finance
Solving necessary and urgent issues in financial and budgetary sectors
10:57 | 12/10/2024 Finance
Banks reduce profit expectations for 2024
14:54 | 11/10/2024 Finance
A new tax management approach needed to promote business household development
09:19 | 11/10/2024 Finance