US Export-Import Bank, Vietnam Development Bank sign $500 mln deal to boost Vietnam imports

Export-Import Bank of the United States (EXIM) and Vietnam Development Bank (VDB) on Monday signed a $500 million memorandum of understanding (MoU) to facilitate the financing of U.S. exports to Vietnam.

Per the agreement signed by EXIM president and chair Reta Jo Lewis and VDB chairman Le Van Hoan, the two sides will foster cooperation between EXIM and VDB and support U.S. export financing to advance green economy transition, infrastructure development projects and climate related projects.

EXIM, the United States’ official export credit agency with the mission of supporting American jobs by facilitating U.S. exports, will work closely with the VDB to identify infrastructure, renewable, and other projects to help spur the green transition in Vietnam.

The MoU signing also demonstrates the U.S. commitment to assisting Vietnam with financing solutions for the green energy transition to fulfill its ambitious climate goals, EXIM highlighted.

"The MoU we signed demonstrates our shared commitment to strengthening the U.S.-Vietnam commercial relationship and dedication to creating opportunities that strengthen the economies of both our nations," said Lewis. "We are excited to collaboratively seek financing opportunities to advance mutually beneficial projects and support U.S. exporters looking to do business in Vietnam," he added.

VDB chairman Hoan affirmed that "Guided by the Joint Leaders’ Statement on elevating United States-Vietnam relations to a Comprehensive Strategic Partnership, the two organizations will contribute to enhance economic exchanges between the two countries."

Vietnam recorded an export revenue of $59.34 billion and an import expenditure of $54.62 billion in the first two months of this year, up 19.2% and 18% year-on-year, according to the General Statistics Office.

The U.S. was the second-biggest trade partner in the period as Vietnam gained $17.4 billion from exporting to the U.S., while spending $2.2 billion on importing from the country. The total trade turnover between the two nations reached $19.6 billion.

China was the biggest trade partner in the period as Vietnam recorded an export revenue of $8.1 billion and an import expenditure of $20.9 billion with the northern neighbor.