MoF, KOICA, and GGGI to strengthen climate-tech funding

MoF, KOICA, and GGGI to strengthen climate-tech funding

The Ministry of Finance, the Korea International Cooperation Agency (KOICA), and the Global Green Growth Institute (GGGI) on April 17 launched a project on enhancing net-zero readiness through mobilising investments for climate-tech startups and small businesses.

The new strategic initiative connects Vietnam, South Korea, and global markets while strengthening Vietnam’s climate-tech ecosystem through startup acceleration and investment mobilisation, reinforcing the policy and investment conditions needed to support the country’s net-zero transition.

The project was launched on April 17

The launch took place shortly ahead of the state visit to Vietnam by the South Korea’s president from April 21 to 24. In this context, the cooperation under this initiative reflects the growing strategic importance of Vietnam–South Korea cooperation not only for more resilient global supply chains, but also for accelerating the net-zero transition of global industries. In addition, the GGGI serves as an inter-governmental platform that can help connect industry, finance, and innovation.

The new venture is built around two closely linked pillars. Under its market-focused pillar, it will deliver two targeted acceleration programmes for climate-tech startups and small- and medium-sized enterprises across several priority sectors: agriculture, circular economy, and waste management in 2026, and renewable energy and transport in 2027.

In parallel, the project will strengthen policy frameworks and institutional capacity for green investment at both central-ministry and provincial levels. This includes support for the appraisal and assessment of green projects, policy analysis to boost investment in climate-tech enterprises, and the integration of net-zero and green growth objectives into provincial socioeconomic development plans for the 2026–2030 period.

At the launch event, Le Viet Anh, deputy director general of the Department of Finance and Economic Policies for Sectoral Development under the Ministry of Finance, said, “The project’s priority sectors are all directly relevant to Vietnam’s emissions reduction goals. At the same time, these sectors hold strong potential to create new technology-driven growth momentum, foster innovation, create jobs, and enhance the competitiveness of the economy.”

Yookyung Lee, deputy director of KOICA’s Vietnam office, said: “KOICA has a long history of supporting innovative startups and small and medium-sized enterprises, while the GGGI has recently successfully managed an acceleration programme for energy-efficiency startups in Vietnam with support from the European Union. By leveraging the expertise of each organisation, we will work to fundamentally improve Vietnam’s carbon neutrality policies and investment environment.”

Although Vietnam has made important progress in strengthening its policy, industrial, and investment environment in recent years, climate-tech companies still face challenges in commercialisation, market expansion, and access to finance. At the same time, growing interest from international companies in the Vietnamese market underscores the importance of strengthening and streamlining market-entry conditions, including familiarity with local regulations and market dynamics, access to networks, and support for initial market establishment.

Juhern Kim, representing the GGGI, said, “The project is designed as a strategic platform connecting Korea, Vietnam, and global markets to scale climate tech solutions. It will serve as a timely and highly strategic opportunity for Korean and global startups seeking to demonstrate and scale climate technologies in Vietnam, while also helping accelerate market creation for Vietnamese innovators.”

At the event, the flagship acceleration programme, “Climate Tech Catalyst: Vietnam and beyond”, was introduced. It will select 15 companies in each of two cohorts in 2026 and 2027 to provide expert mentoring, business strategy refinement, market-entry and scale-up support, matching with global investors, and a final investment pitch event.

The 2026 cohort will focus on climate-tech solutions in agriculture and the circular economy, while the 2027 cohort will focus on renewable energy and transport. Selected companies will receive grants totalling up to $240,000 across both cohorts.

For the 2026 cohort, Vietnam Silicon Valley Capital, a Vietnamese startup accelerator and early-stage venture capital firm, and MYSC, a South Korean impact investor and accelerator, will participate as a consortium to support startups through strategic mentorship, market-entry support, and connections with global investors.

VIR