New joint initiative to support sustainable finance for green transformation in Viet Nam
VGP - A new concerted initiative to strengthen sustainable finance and support Viet Nam’s green transformation was officially launched in Ha Noi on January 27.
The launching ceremony of the project 'Shifting Investment Flows Towards Green Transformation' (SHIFT), Ha Noi, January 27, 2025
The project 'Shifting Investment Flows Towards Green Transformation' (SHIFT) reflects a shared commitment to advancing green investment and financing for the country's energy transition.
The SHIFT project is part of Germany's International Climate Initiative (IKI), commissioned by the German Federal Ministry for the Environment, Climate Action, Nature Conservation and Nuclear Safety (BMUKN).
Six organisations will work together to deliver the project, namely, Agora Energiewende, the Banking Academy of Viet Nam, the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, the International Finance Corporation (IFC), the Netherlands Development Organisation (SNV) and the United Nations Development Program (UNDP).
Addressing the ceremony, Director General of the Department of Sectoral Finance and Economics Chu Duc Lam said, pursuing rapid yet sustainable growth, high yet greener, smarter and more inclusive growth, Viet Nam is committed to aligning with the global trend of dual transformation - digital and green transformation.
A successful green transition requires large-scale green investment and green finance, with sufficient scale to guide the market and create a strong leverage effect for businesses and the economy, he said, adding that the project serves as a 'policy catalyst', helping to foster an enabling environment for green investment, green finance, and energy transition in Viet Nam.
Managed by Viet Nam's Ministry of Finance, the project works in close coordination with key departments within the Ministry, the State Bank of Viet Nam, financial institutions and the private sector.
SHIFT will create an enabling environment for green investment while supporting financial institutions as well as private enterprises, particularly women-led businesses, to navigate and accelerate the transition toward greener and more sustainable business models.
Attacheé of Economic Affairs and Development Cooperation of the German Embassy in Viet Nam Alexandra Westwood said, Germany is providing considerable support to Viet Nam in implementing this project. Advancing green finance and clean energy is a complex process that requires policy frameworks, financial expertise and technical capacity.
By combining strengths of all players, SHIFT will foster meaningful collaboration and generate greater impact in supporting Viet Nam's national development and climate objectives, she added./.
