Green construction credit remains limited

Officials and business leaders called for expanded green financing to accelerate Vietnam's transition to sustainable construction and net-zero emissions by 2050.

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An overview of the forum

The Vietnam Sustainable Construction Forum was jointly organized by the Saigon Construction and Building Materials Association (SACA), the Ministry of Construction, the Ministry of Agriculture and Environment, and the Vietnam Chamber of Commerce and Industry (VCCI).

Opening the forum, Mr. Nguyen Van Sinh, Deputy Minister of Construction, said Vietnam aims to integrate green buildings with sustainable transport systems and energy-transition infrastructure, creating environmentally resilient urban areas.

Participants identified limited access to green finance as one of the biggest obstacles preventing businesses from adopting low-carbon construction practices.

Ms. Nguyen Thi Thu Ha, Director of Agribank's Staff Training School, said outstanding green credit reached nearly VND828 trillion by the end of the first quarter of 2026. However, loans dedicated to green construction totaled just over VND24 trillion, accounting for only about 3 percent of total green credit, highlighting significant room for growth.

She said expanding green lending would require standardized criteria for classifying green buildings, a broader pipeline of eligible projects, more medium- and long-term financing products, and measurable environmental performance indicators to improve transparency and verification.

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An expert presents a paper during the thematic discussion session.

According to VCCI's latest business survey, nearly 55 percent of Vietnamese enterprises lack the technological capacity needed for green transformation. Meanwhile, an equal proportion face capital shortages and limited access to green finance. About 59 percent have yet to establish dedicated sustainability teams, and fewer than 6 percent have successfully adopted emissions-reduction technologies.

To address these challenges, VCCI proposed establishing a national coordination and innovation center to support Vietnam's net-zero roadmap. The center would focus on workforce training, facilitating access to green finance, promoting technology transfer, and strengthening policy dialogue.

Mr. Vu Hong Phong, an expert with the International Finance Corporation (IFC), said developing countries need green building certification systems that are affordable, practical, and widely accessible to encourage broader adoption.

He noted that IFC's EDGE green building certification helps construction projects gain greater access to green financing because it aligns with sustainable finance frameworks and standards in Vietnam, Southeast Asia, and international markets.

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