China-backed lender AIIB invests $75 mln in green, blue bonds issued by Vietnam’s SeABank

China-headquartered Asian Infrastructure Investment Bank (AIIB) will invest $75 million in green and blue bonds issued by Vietnamese private lender SeABank, the latter announced Monday.

The investment is expected to further strengthen SeABank’s capital base to expand financing for sustainable economic activities linked to the sea and water, and grow green assets such as green buildings, renewable energy and energy efficiency, the Vietnamese lender said.

Gregory Liu, AIIB director general of Financial Institutions and Funds, Global, said AIIB is pleased to work with SeABank and the International Finance Corporation (IFC) under the World Bank regarding climate mitigation and adaptation.

The cooperation can “supplement the ongoing measures to reduce greenhouse gas emissions and contribute to the thematic capital market development,” the executive added.

The investment was mobilized by the IFC, a strategic partner which has been supporting SeABank to implement sustainable projects associated with sustainable finance and financial inclusion, in partnership with the Australian government. In June, the IFC provided a $150-million package to SeABank to catalyze a viable blue finance market while fostering green bonds.

For its sustainable goals such as green finance, climate change adaptation, and financial inclusion for SMEs and women-owned businesses, SeABank has received continuous investments from various international financial institutions such as the U.S. International Development Finance Corporation (DFC), IFC, and Asian Development Bank (ADB) with total capital of approximately $850 million.