Vietnam set to issue first internationally verified green bonds worth $75 mln
EVN Finance has signed deals for a VND1,725 billion ($75 million) bond issuance that will mark Vietnam’s inaugural onshore, internationally verified green bonds in local currency.
Green bonds facilitate the borrowing of capital for environmentally-friendly, low carbon economy projects.
The deals, signed by EVN Finance, a unit of Vietnam Electricity Group (EVN), include one with GuarantCo, a Private Infrastructure Development Group (PIDG) member, to provide a VND1,150 billion ($50 million) partial credit guarantee to support this EVN Finance bond issuance.
It is the first-ever partially guaranteed corporate bond that has attracted institutional investors in Vietnam, including Canada’s Manulife and U.S.-based AIA. Vietcombank Securities under Vietnamese leading lender Vietcombank acted as the mandate lead arranger for the transaction.
The bond proceeds will allow EVN Finance to issue longer-term loans to finance green infrastructure projects including the fast-growing rooftop and ground-mounted solar sub-sectors in electricity-thirsty Vietnam, one of the world’s fastest-growing economies.
The projects are expected to contribute to the seventh United Nations Sustainable Development Goal, which is to ensure access to affordable, reliable, sustainable and modern energy for all by enhancing Vietnam’s energy and climate resilience.
Financing the solar power sector will help the nation reduce its dependence on fossil fuels and support its lower carbon emissions goals.
The rooftop solar solutions supported by EVN Finance will further benefit the wider economy by providing commercial and industrial end-users with access to renewable energy that is both cleaner and cheaper.
GuarantCo has worked alongside the Global Green Growth Institute (GGGI), an inter-governmental international development agency, which provided EVN Finance with technical assistance in structuring the green bond and also assisted with third-party verification of the Vietnamese firm’s green bond framework.
The support was made possible through a technical assistance grant under the GGGI’s Vietnam Green Bond Readiness Program supported by the Ministry of Finance, the Government of Vietnam and the Government of Luxembourg.
GuarantCo and Vietcombank Securities played an important role in attracting investors and coordinating the transaction, contributing to the success of EVN Finance’s green bond issuance, a new financial product in the domestic market, one which could be replicated across other similar transactions in Vietnam.
EVN Finance, a premier non-bank financial institution in the country, operates in capital mobilization, credit and investment, inter-bank market trading and services.
PIDG is a global infrastructure developer and investor that mobilizes private investment for sustainable and inclusive infrastructure in Africa and Asia.
- Read More
Singapore's Platinum Victory seeks to gain veto at Vietnam’s REE
Singaporean fund Platinum Victory Pte. Ltd. has registered to buy more shares of Ho Chi Minh City-based utility firm Refrigeration Electrical Engineering Corporation (REE) to achieve the vetoing power in the latter.
Finance - Thu, November 21, 2024 | 11:29 am GMT+7
Posco keen on investing in Vietnam's $2.2 bln LNG power project
South Korea’s steelmaker Posco is eyeing to invest in the $2.2 billion Quynh Lap LNG-fired power plant project in Vietnam’s central province of Nghe An.
Energy - Thu, November 21, 2024 | 10:42 am GMT+7
Vietnam firm Hoa Lam to build $212 mln Aeon Mall in Mekong Delta
The Mekong Delta city of Can Tho has accepted a subsidiary of private multi-sector Hoa Lam Group as the investor of the Aeon Mall Can Tho commerce and service center.
Industries - Thu, November 21, 2024 | 10:31 am GMT+7
Vietnam startup expert closes Monkey in Black coffee shop
Tung BT (Tran Thanh Tung), a popular startup expert and social media influencer, is closing his final coffee shop in Ho Chi Minh City, ending a 10-year journey of the "Monkey in Black" brand.
Companies - Thu, November 21, 2024 | 8:16 am GMT+7
Vietnam-Singapore ties set for elevation to comprehensive strategic partnership
Vietnam and Singapore will elevate bilateral ties to a comprehensive strategic partnership and Singaporean Prime Minister Lawrence Wong will visit Vietnam next year.
Politics - Wed, November 20, 2024 | 8:16 pm GMT+7
Vietnam’s Vingroup establishes robotics firms, with co-founder’s 2 sons as major shareholders
Vingroup, Vietnam’s largest private conglomerate by ecosystem, has set up a robotics unit as it moves to ramp up its industrial-high technology ecosystem.
Companies - Wed, November 20, 2024 | 6:17 pm GMT+7
E-commerce, digital platforms likely to pay taxes on behalf of their sellers in Vietnam
E-commerce and digital platforms will have to declare and pay taxes on behalf of their sellers starting January 1, 2025, according to a draft amendment to the Law on Tax Administration.
Finance - Wed, November 20, 2024 | 5:37 pm GMT+7
Flexibility, adaptability key to effective leadership: PepsiCo Vietnam exec
In a rapidly changing world, leaders need to develop the skill of being “as flexible as seaweed,” says Nguyen Viet Ha, general director of PepsiCo Foods Vietnam.
Companies - Wed, November 20, 2024 | 3:52 pm GMT+7
Central Vietnam province okays $88 mln automobile part project
Binh Thuan province's industrial zone authority on Tuesday granted an investment registration certificate to a $88 million project invested by Taiwan’s NeoSCM Limited.
Industries - Wed, November 20, 2024 | 3:44 pm GMT+7
Thai packaging firm Thantawan Industry makes inroad into Vietnam
Thantawan Industry Public Company Limited, a leading Thai manufacturer of premium plastic packaging, has inked a deal for a 30-year factory lease, marking its inaugural investment in Vietnam.
Industries - Wed, November 20, 2024 | 3:34 pm GMT+7
Developer Novaland gets legal hassles cleared for satellite urban area bordering HCMC
Major property developer Novoland has had legal obstacles for its Aqua City project cleared after Dong Nai Chairman Vo Tan Duc approved Tuesday a critical adjustment to the southern province’s urban development plan.
Companies - Wed, November 20, 2024 | 2:29 pm GMT+7
Pegatron to quadruple workforce at $800 mln project in Vietnam
Pegatron Vietnam, a subsidiary of Taiwanese electronics manufacturer Pegatron Corporation, is set to soon quadruple the company's workforce for its $800-million project in Vietnam.
Industries - Wed, November 20, 2024 | 2:03 pm GMT+7
Thailand’s WHA greenlighted to invest $55 mln in central Vietnam industrial park
WHA Group, a leading Thai provider of fully integrated logistics and industrial facilities solutions, has secured in-principle approval from the Vietnamese government to invest in an industrial park in central Vietnam.
Industrial real estate - Wed, November 20, 2024 | 12:01 pm GMT+7
Indonesia, Brazil sign cooperation deals worth $2.65 bln
Indonesia and Brazil on Monday sealed cooperation agreements worth $2.65 billion in the areas of renewable energy, sustainable agriculture and technology at the Indonesia-Brazil Business Forum held in Rio De Janeiro, Brazil, on the sidelines of the G20 Summit.
Southeast Asia - Wed, November 20, 2024 | 11:57 am GMT+7
Nusantara not yet feasible as Indonesia’s capital city: authorities
Indonesian Minister of Home Affairs Tito Karnavian said Jakarta still holds the capital status despite the enactment of State Capital Law No. 3 of 2022, adding that the capital city will officially be relocated after the president issues a presidential decree.
Southeast Asia - Wed, November 20, 2024 | 11:55 am GMT+7
Malaysia’s Halal industry to make up 10.8% of GDP by 2030
Malaysia’s Halal industry is projected to account for 10.8% of the country's GDP by 2030, with an estimated value of RM231.1 billion ($51.7 billion).
Southeast Asia - Wed, November 20, 2024 | 11:48 am GMT+7