Outstanding loans in the renewable energy and clean energy sectors reached more than VND 15,000 billion, accounting for 54% of total outstanding green credit, followed by the sustainable forestry sector with outstanding loans of more than VND 6,800 billion, accounting for 24.3% of total outstanding green credit and the third key sector is green agriculture with outstanding loans of more than VND 5,800 billion, accounting for 20.8% of total outstanding green credit.

For many years, Agribank has provided preferential capital to finance investment projects in the green sector, accompanying businesses to successfully implement green projects that bring benefits to the country, aiming at sustainable development. Agribank prioritizes providing credit to finance new energy and renewable energy projects such as wind power, solar power and small hydropower projects. These projects not only contribute to reducing greenhouse gas emissions, moving towards the Government's Net Zero target, but also create momentum for green economic development in the locality.

Identifying agricultural, farmer and rural lending as the focus with outstanding loans accounting for nearly 65% ​​of the total outstanding loans of the economy, Agribank believes that promoting effective green growth is promoting the development of green and sustainable agriculture. Agribank has proactively accompanied and consulted on suitable financial products and services and provided flexible credit to farmers and businesses applying green, clean and high-quality agricultural models in localities.

The bank also provides preferential capital to encourage individuals and businesses to invest in advanced technology in the production process, helping to save resources, reduce negative impacts on the environment and improve the competitiveness of products in the market. At Agribank, customers producing and trading OCOP products can borrow unsecured loans of up to VND 1 billion for cooperatives, farm owners or up to 80% of the total investment of the project, production and business plan applying high technology in agricultural production.

Trusted by the State Bank, Agribank is the key bank to implement the loan project for 1 million hectares of high-quality and low-emission rice cultivation in the Mekong Delta in the pilot phase from now until the end of 2025 and continue to implement the program until the end of 2030. The bank will reduce the minimum interest rate by 1%/year compared to the lending interest rate of the corresponding term to meet the short, medium and long-term capital needs of all stages (production, purchasing, processing, consumption) in the rice linkage, contributing to the implementation of Vietnam's commitment to developing green and sustainable agriculture...

Continuing to promote green credit growth, at the end of 2024, Agribank officially launched the Green Credit lending program for individuals to borrow capital to produce and trade organic agricultural products, eco-labeled products, safe food supply chains, develop self-consumption solar power... with a scale of 10,000 billion VND with preferential interest rates. The program will open up opportunities for individual business households to access cheap capital to develop green, environmentally friendly economic models right from the first steps of implementing production and business plans.

In December 2024, for the first time, the Luxembourg Government cooperated with a bank in Vietnam for the goal of sustainable economic development. The Luxembourg Government officially cooperated with Agribank to implement financial projects on climate change adaptation and resilience, promoting rural agriculture and increasing financial access to develop people's livelihoods associated with sustainable economic development in Thua Thien Hue province.

In addition to focusing on green credit, actively transforming digitally is a step in Agribank's sustainable development strategy to minimize environmental impacts in banking operations. Agribank has invested heavily in information technology infrastructure to promote digital transactions, simplify procedures to reduce resource consumption and improve operational efficiency.

Agribank also cooperates with the State Bank and Vietnam Television to carry out communication programs to raise people's awareness of sustainable economic development associated with environmental protection and saving natural resources. Over the past year, the program has shared and spread many stories of green economic development of farmers and business owners across the country with impressive ideas and aspirations for green economic development.

With these efforts, Agribank continues to be rated ESG (CIS) credit rating at CIS 2 by Moody's International Credit Rating Agency. Mr. Swami Venkataraman - Global Director in charge of sustainable finance and senior experts of Moody's Ratings assessed this as a high score compared to commercial banks in the world with the same credit rating results from Moody's.

Agribank's strategic steps and practical operations in 2024 are the foundation for continued investment in promoting green growth, towards sustainable development in 2025. Agribank will continue to proactively realize the green economic development goals of the Party and State, together with the banking industry, affirming its key role in the cause of national sustainable development.

Source: https://baoquocte.vn/agribank-thuc-day-tang-truong-xanh-huong-toi-phat-trien-ben-vung-311496.html