AsemconnectVietnam - In early 2024, ACB launches a Green/Social Credit package of VND2,000 billion with many incentives for businesses with production and business plans that are beneficial to the environment and society.

The Green/Social Credit Package, in addition to providing important additional capital from banks to businesses in the market, is also a way for ACB to develop sustainably with customers and partners, in accordance with the industry development strategy. The bank is associated with the task of developing green credit - green banking set by the State Bank of Vietnam.
ACB Green/Social Credit Package is built based on the categories and criteria of the Green/Sustainable Finance Framework, advised and guided by the International Finance Corporation (IFC) to ensure compliance with international regulations but still consistent and consistent with the bank's internal processes. The green/sustainable finance framework follows the Green Bond Principles and Sustainable Bond Principles established by the International Capital Markets Association (ICMA) and the Green/Sustainable Lending Principles established by Loan Market Association (LMA).
ACB will prioritize credit financing for businesses with production and business plans in the Green List or Social List. Accordingly, businesses in the Green List that qualify include renewable energy (solar power); efficient use of energy; green building; pollution control and prevention; clean transportation (including hybrid vehicles); sustainable water management and wastewater treatment; sustainable management of the living environment, natural resources and land use. For the Social Category, qualified and women-owned businesses that demonstrate progress and equal empowerment will receive priority access to capital from ACB.
Implementing the Green/Social Credit growth target with a limit of VND2,000 billion, ACB also supports businesses by offering preferential interest rates from only 6%/year for short-term and long-term loans. Loans also have the option to maintain incentives for up to 24 months and have early repayment fees waived/reduced. In addition, businesses can also optimize costs and increase business efficiency when using the financial solution "ACB 0 fee" for account services, cash flow management, international money transfer or licensing. Credit by way of L/C Letter of Credit, Guarantee, Export Contract Financing.
Mr. Ngo Tan Long, Deputy General Director of ACB said: "The Green/Social Credit Program with outstanding incentives is a comprehensive financial solution proactively provided by ACB to businesses. We are ready to accompany businesses moving towards sustainable development. In the long term, we will promote green capital according to ACB's ESG implementation strategy."
With the newly implemented Green/Social Credit package, ACB will have standards for evaluating and monitoring capital use to ensure capital is used for the right purpose, bringing benefits to businesses when choosing according to direction of sustainable development, and ACB itself will have a "net" to screen businesses that have good impacts on the environment and society to continue accompanying.
On the pioneering journey of implementing ESG, ACB has integrated sustainable development strategies into business activities. It is known that ACB is developing a Green/Sustainable Bond Framework and will announce it in the near future. The goal is to increase green capital to finance green projects in Vietnam, as well as create conditions for Businesses have more choices and opportunities to expand production and business in a sustainable way.
In 2023, ACB was the pioneer bank in Vietnam to publish its own report on Sustainable Development (ESG) and carry out a series of environmental protection activities to inspire and spread a sense of responsibility for the living environment to shareholders, partners, customers and the community.
N.Nga
Source: VITIC/Tinnhanhchungkhoan