SeABank secures $80m from Proparco and FMO for inclusive, green growth

SeABank secures $80m from Proparco and FMO for inclusive, green growth

SeABank has received $80 million in funding from Proparco and FMO to expand support for SMEs, women-led businesses, and green finance initiatives.

Representatives of SeABank and Proparco at Proparco Head Office (France)

The French Development Finance Institution (Proparco) and the Dutch Entrepreneurial Development Bank (FMO) have fully disbursed a joint $80 million loan to SeABank. Signed in March, the financing package is designed to enhance access to capital for Vietnamese enterprises, boost financial inclusion, and back projects that address climate change.

Each institution contributed $40 million, with the financing set to channel credit towards small and medium-sized enterprises, women-owned businesses, and projects with positive environmental impact. By targeting these priority sectors, the loan seeks to strengthen business resilience, foster inclusive growth, and accelerate Vietnam’s transition to a low-carbon economy.

On October 2, the French and Dutch government-owned financial institutions had fully disbursed the loan. This funding provides SeABank with additional resources to support SMEs and women-owned businesses in accessing finance and expanding business. At the same time, the bank strengthens the adoption of international best practices and enhances its environmental and social management policies to minimise the impact of its activities, thereby combating climate change.

In recent years, SeABank has actively 'greened' its portfolio, prioritising funding for environmentally friendly sectors through policies such as the Green Credit Policy. At the same time, SeABank has reduced its 'brown' exposure through the Environmental and Social Risk Management System (ESMS), ensuring it wasn't financing harmful projects such as forest exploitation, coal, or radioactive materials, among other activities.

Understanding the barriers faced by SMEs and women-owned businesses in accessing capital, SeABank has implemented comprehensive financial solutions, while improving credit guarantee mechanisms and consulting services to provide maximum support. The bank’s financial solutions enable businesses to access capital through various forms tailored to their sectors, including preferential interest rates and unsecured overdraft limits. Accompanying these are non-financial support initiatives, notably the activities of the SeAPower Club, which have helped women entrepreneurs enhance their capacity and expand sustainable development opportunities, enabling SeABank to achieve 40 per cent growth in the number of women-owned business customers in 2024.

Including the investment from Proparco and FMO, SeABank’s total international funding has reached nearly $1.1 billion, comprising loans, credit facilities, and trade finance from reputable international financial institutions such as the US International Development Finance Corporation, International Finance Corporation, Asian Infrastructure Investment Bank, Norfund, and the Organisation of the Petroleum Exporting Countries Fund. This demonstrates investors’ trusts in SeABank’s performance and effective implementation of sustainable projects, while affirming the bank’s international reputation and steadfast commitment to sustainability.

VIR