HCMC – The Asian Development Bank (ADB) is planning a financing pipeline of 27 projects for Vietnam through 2029, with total lending estimated at around US$4.6 billion, as both sides move toward concentrating resources on large-scale, high-impact projects rather than spreading investments across numerous smaller initiatives.
The information was discussed at a meeting in Hanoi on June 15 between Deputy Minister of Finance Tran Quoc Phuong and Kim Dongil, ADB Director, in preparation for the upcoming visit of the ADB President to Vietnam.
In addition to the medium-term lending portfolio, the two sides discussed policy-based loans that provide direct budget support, plans to expand the ASEAN power grid interconnection network, and major transportation infrastructure projects.
For the private sector, Vietnam welcomed ADB’s recent non-sovereign lending activities, which do not require government guarantees. The Ministry of Finance pledged to work closely with relevant agencies to improve mechanisms and facilitate the effective deployment of capital directly to private enterprises within the existing legal framework.
The effort aligns with Vietnam’s goal of strengthening the private sector as a key driver of economic growth.
The proposed US$4.6 billion commitment for 27 projects over the next several years reflects a broader shift in the financing strategies of multilateral development institutions. Rather than dispersing resources across numerous small projects, development lenders are increasingly prioritizing large-scale investments in infrastructure, energy and urban development that can generate wider economic benefits.
For Vietnam, where financing needs for infrastructure modernization remain substantial, directing capital toward projects with strong implementation capacity and significant regional spillover effects could help maximize the effectiveness of development financing while reducing the risk of delays caused by funding shortages or prolonged administrative procedures.
ADB’s growing emphasis on non-sovereign lending is also expected to provide an important source of international financing for domestic businesses. As Vietnam continues to manage public debt prudently, channeling more foreign capital directly to private-sector projects—particularly in areas such as energy transition, green development and digital infrastructure—could ease pressure on the state budget while encouraging additional private investment.
Such an approach may create a multiplier effect, combining international financing with domestic private capital to support long-term, sustainable economic growth.
