Green finance for sustainable industrial parks

Could you please tell us about the opportunities and challenges that industrial parks are currently facing in the development process?

Industrial parks have become key areas attracting domestic and foreign investment projects. Many leading corporations in the world such as Samsung, Intel, Sumitomo, Foxconn, LG, Hyosung, Canon, Robert Bosch, Lego... with many products exported to the global market, contributing to affirming Vietnam's position on the economic map of the region and the world.

However, besides the achieved results, the development of industrial parks and economic zones in recent times has also revealed some limitations, mainly reflected in aspects such as quality and planning efficiency not meeting requirements; lack of overall, long-term vision; land clearance problems, infrastructure outside the industrial park is not guaranteed and synchronized; slow development types are being innovated towards "green" industrial parks towards sustainability; unsustainable and unbalanced development in terms of economy, environment and society...

Developing sustainable industrial parks is the goal of industrialized countries around the world. How is the story of green transformation and ecological industrial parks being implemented in Vietnam, sir?

The mandatory trend for industrial parks and manufacturing plants is to aim for green transformation and sustainable development to meet the common international needs and regulations in exporting goods, especially to demanding markets.

In fact, in the 16 Free Trade Agreements (FTAs) that Vietnam participates in, the requirements on industry chains, value chains and green and clean production stages are very important, because this is one of the factors that helps Vietnamese enterprises to participate in a demanding market. At the same time, the goal of sustainable industrial development has also been included in the United Nations' commitments on sustainable development.

Therefore, the model of developing industrial parks in a multi-sector, multi-sector direction, with the development driving force mainly based on land potential, is gradually no longer suitable in the current context. Therefore, the construction and development of high-tech industrial parks, ecological industrial parks, etc., to meet the requirements of green economic development globally, is very necessary.

Through contact with investors, the Vietnam Industrial Real Estate Association found that most foreign-invested enterprises want to invest in ecological industrial parks, green transformation factories, efficient digital transformation factories and high-tech factories. Accordingly, if we do not take specific actions for green transformation and sustainable development, we will certainly miss this great opportunity.

Industrial parks have had very good awareness of the requirements for green transformation and implementation of ecological industrial parks. We can see that the current situation of industrial parks - export processing zones has been built for a long time, some areas have been built for more than 30 years. Therefore, industrial parks and export processing zones must transform and transform step by step to implement green transformation and renewable energy. However, the common situation that industrial parks are facing is the problem of environmental pollution, especially wastewater and exhaust gas pollution. With this problem, we must invest in treatment technology and promote the use of renewable energy in industrial parks and economic zones. Along with that, there is a lack of infrastructure, so we must promote transport and technical infrastructure.

So, in your opinion, what support policies do industrial parks need to transform into green and develop sustainably?

Building green industrial parks to attract investment capital is a common trend, a path that industrial real estate developers are forced to take, not simply a choice. However, to accelerate the transformation process, it is time for ministries, branches and localities to soon complete the legal framework, thoroughly resolve difficulties in investing in developing ecological industrial parks, with the common goal of not only overcoming environmental limitations, but also increasing the value chain, thereby creating a spillover effect to attract new generation investment capital flows.

In addition, to develop sustainable industrial parks, in addition to raising awareness, we must have solutions and actions that strongly commit to the responsibility of businesses. To do this is the story of green finance. Because businesses that want to transform according to this model must have finance. That means we will have to have capital flows that banks commit to accompany businesses in implementing green transformation and implementing ecological industrial parks.

I really hope that in the coming time, banking organizations will continue to have more comprehensive financial solutions, supporting more businesses for all industrial parks and factories in industrial parks - export processing zones. I propose to soon have a Law on Industrial Parks and Economic Zones to have a solid legal corridor for the development of stronger industrial parks in the future.