VPBank secures record $1 billion sustainable syndicated loan

VPBank secures record $1 billion sustainable syndicated loan

Vietnam Prosperity Joint Stock Commercial Bank (VPBank) has announced the successful execution of a landmark international syndicated loan transaction with an initial value of $1 billion, with an upsize option available depending on the bank’s future funding requirements.

The facility, announced on May 5, was arranged, underwritten, and co-financed by a syndicate of global financial institutions, including Sumitomo Mitsui Banking Corporation (SMBC), Standard Chartered Bank, MUFG, ANZ, Cathay United Bank, Commerzbank AG, CTBC Bank, Mashreq Bank, and State Bank of India.

This transaction represents the largest syndicated loan ever raised by a Vietnamese bank, and also marks the largest foreign loan to date dedicated to advancing sustainable finance in Vietnam.

The successful completion of this financing transaction demonstrates VPBank’s expanding access to international capital to fund sustainable development goals. It also strengthens the bank’s strategic collaboration with SMBC, its strategic investor, as both parties work together to shape new standards for sustainable finance in Vietnam.

This deal is the latest in a series of successful sustainable financing initiatives led by VPBank in recent years, setting a new benchmark in terms of scale, strategic impact, and global reach. Since 2020, the total volume of VPBank’s sustainable capital mobilisation has reached approximately $2.8 billion, which has been deployed to support the growth of women-led businesses, green projects, and other socially responsible initiatives.

"This landmark transaction is a source of great pride for VPBank, as it not only sets a record in terms of value but also demonstrates our unwavering commitment to Vietnamese firms and the broader economy. The participation of leading global financial institutions is a clear reflection of their growing confidence in VPBank’s financial strength, long-term vision, and credibility on the international stage," said a representative from VPBank.

The successful syndication follows a series of high-level investor roadshows organised by VPBank in the first quarter of 2025, held in key global financial centres such as Singapore, Taiwan, and notably Dubai – the Middle East’s premier financial hub. These efforts were designed to attract the attention of institutional investors to Vietnam’s sustainable finance agenda.

The event facilitated direct engagement with investors from the Gulf Cooperation Council – a regional intergovernmental alliance comprising Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates – all of which possess substantial financial resources and are actively expanding their investments in green and sustainable finance models.

With participation from some of the world’s most reputable banks and heightened interest from both traditional and emerging markets – including the Middle East – VPBank is well-positioned to leverage this momentum to further expand its global capital-raising capabilities, optimise its capital structure, and enhance financial support for businesses engaged in sustainable development.

VIR