The bonds, coded VPBIP2530, have a 5-year term and were privately issued with a total of 1,500 bonds, each with a face value of USD 200,000. Of the USD 300 million issued, the International Finance Corporation (IFC), a member of the World Bank Group, invested USD 200 million, and Proparco (the French Development Finance Institution) contributed the remaining USD 100 million. The IFC acted as the lead investor, aligning the transaction with global standards and demonstrating international institutions' confidence in VPBank's sustainable development strategy.
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VPBank is the first Vietnamese bank to successfully issue USD 300 million in sustainable bonds on the international market. Photo: VPBank |
VPBank is the first Vietnamese bank to successfully issue USD 300 million in sustainable bonds on the international market. Photo: VPBank
According to the plan, all proceeds will be allocated to domestic green, social, and sustainable projects, such as renewable energy, sustainable transportation, low-emission agriculture, support for small and medium-sized enterprises, women-led businesses, and community development programs. The World Bank Group estimates this capital could create about 38,000 jobs over the next 5 years.
Nguyen Duc Vinh, CEO of VPBank, said this issuance marks a significant step in VPBank's sustainable development journey and demonstrates Vietnam's ability to connect strongly with global green capital flows.
"This capital mobilization is a concrete step by VPBank to support the government's Net Zero target, while promoting a sustainable and prosperous Vietnam," a VPBank representative emphasized.
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The newly raised capital is expected to create 38,000 jobs within the next 5 years. Photo: VPBank |
The newly raised capital is expected to create 38,000 jobs within the next 5 years. Photo: VPBank
According to the World Bank, Vietnam needs approximately USD 368 billion for climate adaptation and carbon emission reduction projects by 2040. However, as of 9/2024, green credit only accounted for 4.5% of the total outstanding loans of the entire banking sector. VPBank alone recorded an outstanding green credit balance of 31,700 billion VND at the end of 6/2025, a 44.5% increase compared to the end of the previous year.
Thomas Jacobs, IFC Country Manager for Vietnam, Cambodia, and Laos, stated that this is a pioneering transaction for the Vietnamese banking sector, contributing to establishing standards for the sustainable finance market, mobilizing private capital, and channeling funds to small and medium-sized enterprises, women entrepreneurs, and climate projects.
VPBank's transaction is considered an important precedent for the Vietnamese banking sector in directly accessing the global green capital market, where ESG funds and development finance institutions are expanding investment opportunities in emerging economies.
VPBank is currently among the largest joint-stock commercial banks in Vietnam, with total consolidated assets exceeding 1.1 quadrillion VND as of 30/6/2025. The bank is focusing on digital transformation, integrating ESG criteria into its operations, and aiming for business growth linked to sustainable development. Previously, VPBank joined the Alliance for Green Commercial Banks, a global initiative launched by the IFC.
(Source: VPBank)
