HSBC Commits to $12 Billion in Sustainable Finance | Business

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HSBC Vietnam pledges to arrange up to USD 12 billion in direct and indirect contracts sustainable financing for Vietnam and the country’s business sector by 2030. (Photo: HSBC)

Hanoi (VNA) – HSBC Vietnam announced on January 25 its commitment to set up up to USD 12 billion in direct and indirect sustainable financing for Vietnam and the country’s corporate sector by 2030.

The bank, in its letter to the government, expressed its intention to financially and expertly support promising and critical green and sustainable projects of companies in Vietnam, which play a vital role in decarbonizing the country’s economy.

This is part of HSBC’s broader net zero commitment to help clients transition their business models and decarbonize by prioritizing $750 billion to $1 trillion in funding and investment by 2030.

For Vietnam to reach its net zero target by 2050, as it pledged at the 26th United Nations Conference of the Parties on Climate Change (COP26) in the UK last year, it must invest heavily in
renewable energy and green infrastructure.

“The Vietnamese government has clear ambitions to tackle climate change through both green finance and technology transfer,” said Tim Evans, CEO of HSBC Vietnam. “These commitments give the private sector more confidence to borrow and invest.”

HSBC Vietnam will mobilize funds from local and international financial markets to provide a wide range of sustainable solutions in the areas of green finance, debt financing, supply chain, trading, green deposits and investment products . HSBC incorporates careful risk assessment and international green finance standards into the delivery of these solutions.

“We have received positive feedback as well as explicit guidance from the Vietnamese government to work with a number of ministries and the State Bank of Vietnam to help organize green financing for Vietnam,” the official added.

HSBC Vietnam has a proven track record of supporting green and sustainable projects in Vietnam, all of which contribute to the decarbonization of the country’s economy, including the first green loans for certified green buildings, financed Duy Tan Plastics Recycling Factory in 2020, double green financing includes a term loan to REE Solar Energy to fund their investment in rooftop solar energy solutions and a trade finance facility to REEPRO for the import of rooftop solar equipment in 2020./.

ANV

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