HSBC TO ARRANGE US$12 BILLION FOR SUSTAINABLE DEVELOPMENT PROJECTS IN VIETNAM

HSBC Vietnam on January 25 committed to arranging US$12 billion for the sustainable development projects of enterprises in Vietnam by 2030.

The move is aimed at supporting the Vietnamese Government’s commitments at the United States Climate Change Conference (COP26) and target of net-zero emissions by 2050, news site Vietnamplus reported.

In a letter sent to the Vietnamese Government, HSBC revealed its plan to sponsor green and sustainable development projects, which will help reduce Vietnam’s carbon dioxide emissions.

This is part of HSBC’s commitments to providing US$750-1,000 billion by 2030 as sustainable investment, supporting enterprises in shifting to more sustainable business models and reducing carbon dioxide emissions.

In the report, “Tackling the next crisis” of HSBC, HCMC is being threatened by rising sea levels. The World Bank has also warned that Vietnam is among the five countries most affected by climate change, and this might send Vietnam’s national income down 3.5% by 2050.

To reach net-zero emissions by 2050, Vietnam should invest significantly in renewable energy and green infrastructure, according to HSBC.

HSBC Vietnam will mobilize capital from the domestic and international financial market to diversify sustainable solutions in the green credit, supply chain, trade and green deposit sectors.

Tim Evans, CEO of HSBC Vietnam, said the bank had worked with ministries, agencies and the State Bank of Vietnam to arrange capital for green projects in Vietnam. With the Government’s support and direction, the readiness of enterprises and individuals in Vietnam and HSBC’s knowledge and international experience in the sustainable financial sector, the bank is confident of contributing to Vietnam’s plan to adapt to climate change.

Source: The Saigon Times