It will also strengthen the role of the financial-banking system in encouraging and supporting domestic economic sectors to participate in implementing activities to reduce environmental pollution and respond to climate change, business development towards sustainability.
The ministry will assist the bank in strengthening its capacity for environmental risk assessment and developing criteria for evaluating environmental risks for projects as this is a prerequisite for developing sustainable financial products in accordance with international practices and suitable for the Vietnamese market.
Speaking at the signing ceremony, Minister of Natural Resources and Environment Tran Hong Ha emphasised that the cooperation between will promote the forming and expanding of green bonds and credits as well as carbon market development.
Phan Duc Tu, Chairman of BIDV's Board of Directors, said the MoU sends out positive signals about opportunities for companionship and linkage between regulatory agencies, commercial banks and the business community in setting the market's development orientation, and setting forth solutions to environmental protection and climate change response. These are strategic priorities in the fields of business, finance and banking, contributing to the effective implementation of the green strategy in Vietnam as well as the international commitments that Vietnam has signed, he said.
