On April 21, at the workshop on green transformation journey and financial-technological solutions co-organised by BIDV and FPT in Hanoi, experts and business representatives pointed out many major challenges that Vietnamese enterprises are facing, and made recommendations to support the transformation journey towards sustainability.
According to Dr Can Van Luc, a member of the National Financial and Monetary Policy Advisory Council, the green transformation wave is creating three main pressures on Vietnam. The first is the internal pressure from increasingly complex climate change, directly affecting production and business, especially in vulnerable sectors such as agriculture, aquaculture, and energy.
The second is the pressure from the global market, with the trend of “green” consumption and investment, accompanied by increasingly high technical barriers and sustainability standards. Third is the pressure from international commitments that Vietnam has participated in, especially the target of net-zero emissions by 2050.
To overcome these challenges, Dr Luc emphasised three main solutions. First, it is necessary to perfect the legal framework, standardise ESG indicators and information disclosure regulations to increase transparency and comparability. Second, it is necessary to strongly develop the green financial market, including products such as green bonds, green credit, climate risk insurance, etc., to create a stable capital flow for businesses to implement transformation projects.
According to Vo Quoc Khanh, Deputy General Director of Banking and Financial Services Division, EY Vietnam, green transformation is not only a trend but will sooner or later become a mandatory requirement if businesses want to maintain competitiveness and access to capital.
From a technology perspective, Tran Duc Tri Quang, Vice President and Chief Data Officer of FPT IS (FPT), shared more about the core role of data in the green transformation journey. According to him, high-quality data is an indispensable condition for businesses to access green capital sources such as green bonds, sustainability-linked loans (SLLs), or credit incentives from international financial institutions.
On behalf of the bank, Tran Long, Deputy General Director of BIDV, said that BIDV is implementing many programs to support businesses in accessing green credit. In particular, the bank provides financial products such as green loans, sustainable development bonds, green trade finance and ESG consulting services.
BIDV has also cooperated with international financial organisations such as AFD, WB, JICA and KfW, to diversify green capital sources. By the end of 2024, the bank will have financed over 1,600 customers with nearly 2,000 green projects, with a total outstanding loan balance of over 80 trillion VND.
