HCMC – Green credit in Vietnam’s banking sector has surpassed VND700 trillion, with strong growth seen in renewable energy and sustainable agriculture, according to the State Bank of Vietnam (SBV).
As of March 31, outstanding green loans made by 58 banks had grown by 3.57% against the end of 2024 to VND704.2 trillion. These loans accounted for 4.3% of the country’s total credit portfolio.
The data was released at a forum on May 21 titled “Promoting the implementation of the banking sector’s action plan for the national green growth strategy 2021-2030.”
Loans for renewable and clean energy projects made up over 37% of the green credit portfolio, while loans supporting green agriculture accounted for more than 29%.
The green loan market has grown significantly over the past eight years. In 2017, the total outstanding green loans stood at VND180 trillion, translating into an average annual growth rate of 21.2% from 2017 to 2024, outpacing the overall credit growth in the economy.
Environmental and social risk assessments have also expanded across the banking system. By the end of March, 57 banks had conducted such assessments for loans totaling VND3.62 quadrillion, up nearly 1% compared to late 2024. The number of assessed loans has surged to nearly 1.3 million, a 15-fold increase since 2017.
Speaking at the event, SBV Deputy Governor Dao Minh Tu emphasized that green growth is a critical development pathway, particularly for emerging economies like Vietnam. He said the transition toward green economic models is not merely a trend but a necessary step toward long-term sustainability and prosperity.
At the forum, Dao Minh Tu, deputy governor of the State Bank of Vietnam (SBV), said that green growth has become an inevitable path, especially for developing countries like Vietnam. Hence, transitioning into green growth models is not just a trend but it is also the shortest path for Vietnam to head towards a sustainable and prosperous future.
The SBV affirmed its commitment to working with banks and partners to strengthen green finance and sustainable banking practices, aiming to foster an inclusive and environmentally responsible economy.
