France pledges $550 million to support Vietnam’s energy transition

France pledges $550 million to support Vietnam’s energy transition

France has renewed its long-standing partnership with Vietnam with a fresh $550 million commitment to support the country’s green and sustainable growth agenda.

At a ceremony in Hanoi on October 24 marking the 30^th anniversary of the French Development Agency (AFD)’s presence in Vietnam, French Ambassador Olivier Brochet announced the new funding to accelerate Vietnam’s energy transition and promote low-emission transport development.

“More than half of this funding has already been mobilised through AFD-led projects under the Just Energy Transition Partnership,” Ambassador Brochet said, adding that France and AFD would continue to support Vietnam in meeting its long-term climate goals, including the target of net-zero emissions by 2050.

Over the past three decades, AFD has channelled more than $3.3 billion in financing through nearly 120 projects across Vietnam, supporting infrastructure, green energy, and climate resilience.

Entering a new phase of cooperation, particularly following the elevation of Vietnam–France relations to a comprehensive strategic partnership, AFD plans to deepen its engagement in Vietnam’s low-carbon and climate-adaptive development pathway. The agency aims to help Vietnam become a high-income, net-zero-emission nation by 2045–2050.

The AFD’s forthcoming strategy in Vietnam will focus on three key pillars: sustainable energy, low-emission transport, and climate change adaptation.

“All future projects will align with the Paris Agreement and the United Nations Sustainable Development Goals,” said Brochet.

Julien Seillan, AFD’s country director in Vietnam, commended the country’s remarkable transformation over the past 30 years. “Few nations have achieved what Vietnam has in such a short period, it is an extraordinary development journey,” he said.

“We are immensely proud to celebrate 30 years of partnership with Vietnam. Together, we will continue to build sustainable, inclusive, and forward-looking solutions for the next 30 years and beyond,” Seillan added.

VIR