State Bank of Vietnam reports VND 704.244 trillion in green credit and signals guidance once a national green taxonomy is issued

In remarks at the “Connecting green credit – green industrial parks” forum in Da Nang, the State Bank of Vietnam outlined its approach to scaling green lending to support greener industrial parks and flagged that the absence of a national green classification list is making it difficult for firms to evidence a project’s “greenness” and for lenders to identify and appraise green projects. The update noted that credit institutions have expanded green credit activity through product development, funding diversification including green bond issuance, and cooperation with international financial institutions, and that 100% of credit institutions have internal rules to manage environmental risks in lending. As of 31 March 2025, 58 credit institutions had green credit outstanding of more than VND 704.244 trillion, up 3.57% versus end-2024 and equal to 4.3% of total system credit, with green industry and green buildings at about VND 25 trillion or 3.7% of green credit. Next steps include continued implementation of the banking sector action plan for the national green growth strategy and the green banking development programme, with priorities to further complete the legal framework for green credit and to guide credit institutions on green lending after the Prime Minister issues the national green taxonomy. The remarks also pointed to the need for wider coordination, including greater transparency on environmental criteria by industrial-park developers, better project preparation to meet green credit standards, digitalisation of environmental and capital-flow management, and expanded public-private cooperation.