Prime Minister Nguyen Xuan Phuc (second from left) at the event (Photo: VNA)
 
Hanoi (VNA) – The Commercial Bank for Foreign Trade of Vietnam (Vietcombank) and the Japan Bank for International Cooperation (JBIC) exchanged a credit contract worth 200 million USD to fund renewable energy projects in Vietnam.

The exchange of the 14-year contract was witnessed by Prime Minister Nguyen Xuan Phuc and his Japanese counterpart Shinzo Abe.

The loan was arranged by JBIC and provided by MUFG Bank, Mizuho Bank, the Joyo Bank, and the Nishi – Nippon City Bank.

JBIC is a public financial institution and credit export agency of the Japanese government. It is tasked with promoting economic cooperation between Japan and other nations by promoting resources for foreign investment and fostering international commerce. It also plays a major role in promoting Japanese exports and imports.

The bank was one of the instruments of Japan's official development assistance (ODA), which contributes to the implementation of the country’s foreign policy. Looking to promote sustainable development, JBIC is concerned about social and environmental issues, and requires environment impact studies to provide funding for any project.

In Vietnam, JBIC is providing loans for Nghi Son chemical refinery plant; Nghi Son 2, Van Phong 1, and Vung Ang 2 thermal power plants.-VNA