Illustrative photo (Source: VNA) According to a press release from the company, which is asubordinate company of private conglomerate Vingroup, the credit package aimsto support the country’s efforts to achieve net-zero greenhouse gas emissionsand expand high-tech manufacturing industries.
The 7-year tenor climate financing package comprises a 20million USD loan funded by ADB, parallel loans of 87 million USD facilitated byADB as mandated lead arranger, and concessional financing of up to 28 millionUSD.
The package is certified by the Climate Bonds Initiative, ascientifically-based standard for labelling bonds, loans and other debtinstruments which contribute to addressing climate change.
"This project delivers a high-impact, sustainabletransport solution for Vietnam while helping it meet its climate goals andsupporting the growth of climate finance in the region," said ADB PrivateSector Operations Department Director General Suzanne Gaboury.
The project also includes a technical assistance of 950,000USD from the Australian Climate Finance Partnership (ACFP) and the CleanTechnology Fund (CTF). The assistance focuses on raising consumer awarenessabout e-mobility's economic, environmental, and social impacts to help advanceits market penetration, while helping promote the role of women studying for orworking in fields related to science, technology, and mathematics.
Vietnam's transport sector accounts for 18% of annualgreenhouse gas emissions, and its decarbonization, through options likee-mobility, will directly impact the country's ambition to achieve net zeroemissions by 2050./.
VNA
