ABBANK launches green banking capacity building programme

ABBANK launches green banking capacity building programme

An Bình Commercial Joint Stock Bank has embarked on the “Capacity Development for Green Banking” programme with support from the Japan Fund for Poverty Reduction through the Asian Development Bank.

ABBANK has embarked on the “Capacity Development for Green Banking” programme. — Photo courtesy of the bank

The programme is part of the ADB’s broader technical assistance framework to promote inclusive and climate finance in Việt Nam and is implemented with the assistance of consulting firm PwC.

It aims to help ABBANK strengthen its capacity and develop a green finance strategy aligned with international and national standards. It includes the development of disclosure reports in compliance with these standards and the creation of green financial products and services tailoured for small and medium-sized enterprises, including those owned and/or led by women.

PwC will work closely with ABBANK to review its green credit portfolio, sustainable finance policies, green loan appraisal processes, existing green credit products and management information systems for tracking, classifying and reporting green credit portfolios.

It will also evaluate ABBANK’s capacity to identify and manage environmental risks, green banking-related key performance indicators and associated disclosures, and the feasibility of issuing green bonds.

The project also includes training for ABBANK’s specialised staff.

Speaking at the inaugural ceremony in Hà Nội, Shantanu Chakraborty, ADB country director for Việt Nam, praised ABBANK for its strong commitment to sustainable finance, particularly the establishment of a committee to guide and oversee the bank’s environmental, social and governance strategies and initiatives.

The programme aligns with ADB’s strategy for until 2030 and its country partnership strategy for Việt Nam, which support local banks in enhancing their green finance capabilities and advancing the greening of the banking sector.

The program is expected to complete in 20 months, laying the groundwork for ABBANK to adopt long-term sustainable banking practices.

ABBANK CEO Phạm Duy Hiếu highlighted the spirit of co-operation, mutual respect and shared commitment to sustainable development among all the programme participants.

He expressed the hope that "through the programme, ABBANK will gradually strengthen its green banking competency framework, thereby forming a solid foundation for expanding co-operation with international financial institutions and partners that share a common vision for green and sustainable development.” 

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