Vietcombank issues Green Bond Framework

Building the Green Bond Framework is a practical action to realize Vietcombank's strong commitment to sustainable development, prioritizing green credit growth while actively contributing to Vietnam's goal of achieving net zero emissions.

Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) announced the issuance of the Vietcombank Green Bond Framework in compliance with Vietnamese laws on green bonds, and voluntarily complying with the International Capital Market Association Green Bond Principles (ICMA Green Bond Principles). At the 26th United Nations Climate Change Conference (COP26), for the first time, the Vietnamese Government made a strong commitment to climate change, making Vietnam a country with net zero emissions by 2050. In line with the orientation of the Party, the Government and the direction of the State Bank, Vietcombank always focuses on sustainable development and identifies the key goal of becoming a leading bank in environmental, social and corporate governance. Building the Green Bond Framework is a practical action to realize Vietcombank's strong commitment to sustainable development, prioritizing green credit growth while actively contributing to Vietnam's goal of achieving net zero emissions. The Vietcombank Green Bond Framework has 4 main pillars, including: (1) Using capital raised from bond issuance; (2) Project evaluation and selection process; (3) Managing capital raised from bond issuance; (4) Reporting. The proceeds from the issuance of Green Bonds are used by Vietcombank to finance projects that have a positive impact on the environment, including: Renewable energy, clean energy; Sustainable transport; Sustainable water management; Green buildings; Sustainable agriculture, forestry and fisheries and biodiversity conservation; Waste management and resource efficiency; and Energy efficiency. Vietcombank's Green Bond framework was developed with technical support from the Global Green Growth Institute (GGGI) and was highly rated by S&P Global (an independent organization providing Second Party Opinion) with a Medium Green rating. This is the second highest level in the six-level scale according to S&P Global's Shade of Green rating framework. S&P Global assessed that "Vietcombank's green credits contribute to solving the most urgent environmental problems facing the country, such as carbon emissions and pollution". Vietcombank believes that with its scale, influence and comprehensive approach to sustainable development issues, the issuance of Vietcombank's Green Bond Framework will contribute to accelerating the process of solving urgent environmental and social challenges of the era, promoting sustainability and building a prosperous Vietnam. Vietcombank's Green Bond Framework and S&P Global's Assessment Opinion are posted on Vietcombank's website.

(Source: VCB News)

Source: https://vietnamnet.vn/vietcombank-ban-hanh-khung-trai-phieu-xanh-2342255.html