Fukuda Chihiro, Deputy Chief Representative of the Japan International Cooperation Agency (JICA) in Vietnam, shared this information at a press conference on 7/10.
The agency plans to allocate loans for projects supporting Vietnamese businesses in technology transfer, business connectivity, and improving financial access. JICA also anticipates that the upgrade of Vietnam's stock market to a secondary emerging market could attract more quality capital for the economy.
Elaborating further, Kobayashi Yosuke, Chief Representative of JICA Vietnam, stated that the agency's support strategy will focus on four pillars: scientific and technological human resources, private sector development, improving the investment environment, and strategic infrastructure development.
Yosuke noted that Vietnam's economic growth in recent years has relied on labor-intensive manufacturing, foreign direct investment (FDI), and global integration. The government is currently seeking new growth drivers, aiming to transform Vietnam into a high-income country by 2045.
Over the past year (October 2025 to September 2026), Japan committed 89,3 billion yen (approximately 567 million USD) to three projects. These projects include: climate-resilient infrastructure development in the Northern mountainous and midland regions, enhancing disaster resilience in rural areas, and supporting the completion of green finance policies.
Among these, the project to complete green finance policies falls under a new generation of official development assistance (ODA) capital, valued at 50 billion yen (318 million USD). This is a preferential loan with a streamlined process and rapid disbursement procedures.
According to JICA representatives, project effectiveness is not solely evaluated based on disbursed amounts. Criteria considered include the number of policies issued, implemented, and their impact. Specific measurable indicators include the volume of green bonds issued and the proportion of renewable energy.
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Fukuda Chihiro, Deputy Chief Representative of JICA Vietnam, at the event on 7/10. Photo: *JICA*. |
Japanese aid to Vietnam increased significantly over the past year. In the preceding period (October 2024 to September 2025), the agency did not provide any loans. The most recent commitment was 42 billion yen (approximately 265,6 million USD) for Ho Chi Minh City's metro line 1 project, the Ben Thanh - Suoi Tien section, in late 2023.
Japan remains Vietnam's largest bilateral ODA provider through the end of 2025. According to JICA data, Japan's total preferential loans to Vietnam exceed 3.000 billion yen (nearly 19 billion USD).
Specifically for emission reduction, Vietnam anticipates needing nearly 69 billion USD by 2030. Of this, domestic capital will account for approximately 25 billion USD, with 44 billion USD coming from foreign loans, representing 64%.
Thuy Truong
