VietinBank announces Sustainable Finance Framework

VietinBank has developed a Sustainable Finance Framework to provide specific guidelines for the funding and management of the Bank's sustainable development financing. VietinBank 's Sustainable Finance Framework is rated by an independent second party - Morningstar Sustainalytics as "credible and impactful" for sustainable development.

Combating and adapting to climate change and protecting the environment are common global trends of action towards sustainable development goals. At the 2021 United Nations Climate Change Summit (COP26), Vietnam made a strong commitment to bring net emissions to zero by 2050.

Responding to the policies on green growth and sustainable development issued by the Government, VietinBank, as a leading bank providing "blood" capital for the economy , has announced the Bank's Sustainable Finance Framework (SFF), contributing to the commitment to accompany the Government and customers to achieve the goal of net zero emissions. In particular, VietinBank's Sustainable Finance Framework has been assessed by Morningstar Sustainalytics, a leading company in ESG research, ratings and data, as "credible, impactful and consistent with the 2021 Sustainable Bond Guidelines, 2021 Green Bond Principles, 2023 Social Bond Principles, 2023 Green Lending Principles and 2023 Social Lending Principles" by the International Capital Market Association - ICMA, the Loan Market Association - LMA, the Asia Pacific Loan Market Association - APLMA issued

Accordingly, the Sustainable Finance Framework sets out VietinBank's orientations in financing and managing funding for sustainable development purposes according to 4 main pillars, from capital use purposes, evaluation and selection process of funding items to capital use management and reporting. VietinBank's Sustainable Finance Framework is built on a comprehensive approach, applied to both Lending and Bond financial instruments, serving both Green and Social projects/options. In particular, the Green capital use purpose groups include Renewable Energy, Energy Efficiency, Circular Economy, Green Transportation, Green Buildings, Sustainable Agriculture - Forestry - Fisheries and Biodiversity Conservation; the Social capital use purpose groups include Access to Basic Infrastructure, Social Housing, and Access to Basic Services (Health and Education). Before issuing the Sustainable Finance Framework, VietinBank considered sustainable development a core activity of the Bank. VietinBank has proactively developed policies and products to create a flexible mechanism for financing sustainable development in areas such as renewable energy, clean energy, sustainable water management, green agriculture , sustainable forestry, waste treatment and anti-pollution. In the period of 2018 - 2022, VietinBank's sustainable finance recorded a growth rate of 100%. In 2024, VietinBank launched a green finance package worth VND 5,000 billion with many preferential interest rates and fees for plans/projects that meet sustainable criteria. The Sustainable Finance Framework will be the basis for VietinBank to standardize credit granting activities and issue bonds to serve Green and Social goals, in order to realize the Bank's commitment to sustainable development goals.

Source: https://thanhnien.vn/vietinbank-cong-bo-khung-tai-chinh-ben-vung-185240522180131157.htm