Military Commercial Joint Stock Bank: Promoting green finance for sustainable development

Reporter (PV):   Dear comrade, could you please tell us how MB's sustainable development philosophy is being realized, especially in implementing the ESG (environment-social-governance) model?

General Director Pham Nhu Anh: Sustainable development for MB is sustainable business growth associated with effective corporate governance (G) - harmonizing the interests of stakeholders; along with responsibility to the country, society (S) and environmental protection (E). Therefore, MB always prioritizes sustainable development and pioneers in integrating ESG sustainability factors in implementing the bank's long-term goals. With the motto of sustainability, MB gradually concretizes actions to create value for stakeholders in the organization's value chain. Specifically, contributing to the national green growth target, the average green credit ratio at MB in the period of 2020-2024 is 8.5%, focusing on the fields of clean energy, renewable energy and sustainable agriculture and forestry, in line with the national orientation and banking sector strategy on green growth and adaptation to climate change.

General Director Pham Nhu Anh: Photo: TUAN HUY

For shareholders, MB strictly implements regulations on information disclosure, publicly and transparently discloses all information related to the bank's operations, stabilizes a diverse shareholder structure and fully exercises shareholders' rights: Fair treatment, ensures publicity, transparency, close attachment and cooperation for stable and sustainable development. For customers, MB accelerates investment in a platform business model based on customer needs. At the same time, it invests in modern technology infrastructure, maintains an autonomous and flexible information security system, modernizes the payment system, and serves more than 31 million customers with a digital channel transaction rate of approximately 98.6%. Develops modern distribution channels, based on digital technology applications and moves products and services to digital channels to improve access to financial and banking services for all people, in all regions.

Internally, by 2024, ESG has been fully integrated into the business strategy - product development, risk management and synchronization in MB activities. The Bank has issued a Green Finance Framework in accordance with international practices and Vietnamese legal standards to ensure funding for high-standard projects on environmental protection. Building a safe working environment with long-term benefits for officers and employees; nurturing and developing talents and successors, flexibly following the MB1688 culture (1 vision, 6 cultural values, 8 strategic directions and 8 key working methods), equipping all MB employees with digital tools and skills.

PV: What strategy does MB have to expand green financial products and how to encourage customers and partners to implement ESG in financial activities?

General Director Pham Nhu Anh: Green credit is not only measured by profit. This is a business segment that brings community value, supports environmental protection and promotes sustainable development. Green credit is a form of long-term investment, aiming to build a green economy and minimize negative impacts on the environment. Through green projects, MB not only accompanies customers but also contributes to shaping a sustainable future for the whole society. In recent years, MB has given a relatively large priority to this field, arguably the largest proportion of green credit lending in the banking system. MB will aim for a 10% growth in green credit in the coming years.

Military Commercial Joint Stock Bank increases green finance supply to customers. Photo: PHUONG ANH

In addition, how to balance the benefits when doing green credit is a matter of concern. Specifically, when doing green credit, MB identifies the first thing to do as social responsibility before and after doing it well, the reputation and position of the bank will change. At MB, every year we ask for the opinion of the General Meeting of Shareholders to have a relatively large budget to carry out the bank's social responsibility activities. Last year, we spent more than 400 billion VND to implement social security programs. In April 2025, we also implemented a very large program called "HiGreen Truong Sa" with the goal of greening Truong Sa by planting 1 million new trees. MB aims to contribute 160 billion VND to the program, of which 50 billion VND will be matched through green finance activities and community outreach campaigns. This is not only a normal environmental campaign but also a concrete action of more than 20,000 MB staff, the support of more than 31 million MB customers and many organizations and individuals. Thereby, it affirms that every Vietnamese citizen is responsible for protecting the homeland, building the country from the mainland to the remote islands.

PV:   Can you assess the actual impact of ESG projects on the community and what specific initiatives is MB taking to support vulnerable customers in remote areas?

General Director Pham Nhu Anh: In addition to implementing social and community responsibilities through financial contributions, MB has used its digital strengths to provide products and develop distribution channels to support all people and businesses to access and use basic financial products and services conveniently at reasonable costs, especially in rural, remote and isolated areas. Specifically, MB has deployed a payment agent model with partner Viettel, services provided through the agent model include: Support for depositing and withdrawing cash, paying card balances, transferring money and performing other basic payment services... In addition, MB also develops a modern payment channel on digital technology applications, especially via mobile phones; promotes cooperation with payment intermediaries and national public service portals to connect and provide convenient payment services for customers right on the MBBank application with the latest technologies; promotes non-cash payments, convenient for all people. Up to now, MB has expanded its service coverage and network to 8/10 economically disadvantaged areas nationwide.

PV: What is MB's sustainable development orientation in the coming years, sir?

General Director Pham Nhu Anh: By 2026, MB's key ESG initiatives will focus on perfecting the pillars of the sustainable development framework according to practices, creating value and positively impacting the environment through proactive transformation in operations and reducing emissions. Targeting customers through green, sustainable products; practicing advanced ESG governance - governance with high standards; being socially responsible and spreading positive impacts to the community for the goal of Net Zero (net zero emissions). By 2030, MB will become a pioneering green bank, leading the industry, a leading example of comprehensive ESG transformation in the value chain; aiming for carbon neutrality, pioneering climate finance solutions with its strengths and digital capabilities.

PV:   Thank you very much, comrade!

MINH VIET (performed)

Source: https://www.qdnd.vn/kinh-te/tai-chinh/ngan-hang-thuong-mai-co-phan-quan-doi-thuc-day-tai-chinh-xanh-de-phat-trien-ben-vung-827926