VPBank secures $730 million offshore syndicated loan arranged by IFC and SMBC

VPBank secures $730 million offshore syndicated loan arranged by IFC and SMBC

On November 10, VPBank, together with leading global financial institutions, held a celebration ceremony for an offshore syndicated loan facility totalling $730 million.

VPBank representatives and partners at the celebration ceremony. Photo: VPBank

The event was attended by VPBank’s CEO, senior executives, and representatives of participating financial institutions.

The $730 million facility comprises 3-year, 5-year, and 7-year tranches and has been disbursed in multiple drawdowns throughout 2026. The funding will enable VPBank to continue expanding comprehensive financial solutions for SMEs, women-owned or women-led SMEs (WSMEs), and agricultural SMEs, supporting their working capital requirements, production capacity expansion, and business growth initiatives.

With its diversified maturity structure, the facility enhances both medium- and long-term funding resources, increasing VPBank’s flexibility in capital management and strengthening its financial foundation for implementing its 2026-2030 five-year strategy, which aligns business growth objectives with financial inclusion and support for enterprise development.

The transaction, jointly coordinated and arranged by International Finance Corporation (IFC) and Sumitomo Mitsui Banking Corporation (SMBC) as joint arrangers, brought together a broad range of major international financial institutions.

The group of development finance institutions includes IFC, German Investment Corporation, Proparco, and Norfund. Export credit agencies participating in the facility include The Export-Import Bank of China and The Export-Import Bank of Korea. The international commercial banks and other financial institutions participating in the facility include SMBC, Punjab National Bank, Commercial Bank of Ceylon, Industrial and Commercial Bank of China, Shinhan Bank, Woori Bank, and KEXIM Asia Limited.

Photo: VPBank

The participation of development finance institution, export credit agencies, and international commercial banks from markets including the United States, Germany, France, Norway, China, South Korea, Japan, India, and Sri Lanka demonstrates VPBank’s ability to attract international funding and broaden its global partner network.

It also reflects international partners’ confidence in the bank’s financial strength and long-term growth prospects. The transaction is expected to deepen relationships with existing partners while expanding cooperation with new institutions, paving the way for future access to international funding sources.

Nguyen Duc Vinh, CEO of VPBank, said, “The $730 million facility further affirms the international financial community’s confidence in VPBank’s capabilities and development strategy. This funding allows us to strengthen our support for SME customers, WSMEs, and agricultural SMEs, turning our commitment to growth and sustainable development into tangible outcomes while creating long-term value for shareholders, customers and society.”

Allen Forlemu, IFC regional director for Financial Institutions Group, Asia and the Pacific said, "The financing needs of Vietnamese SMEs are far greater than what any single institution can provide. Our long-standing partnership with VPBank and confidence in the bank's strategy and performance have enabled us to provide our first seven-year loan to a Vietnamese bank, helping strengthen VPBank's funding structure and expand its lending to SMEs. By mobilising private capital alongside our own investment, we can scale the resources available to businesses well beyond our own balance sheet, significantly expanding access to finance for companies that drive jobs and economic growth across Vietnam."

Reiko Mori, executive officer and deputy head of Asia Pacific Division at SMBC said, " As VPBank’s strategic shareholder and long-standing partner, we are pleased to have worked alongside IFC to bring development finance institutions, export credit agencies, and commercial banks together on a single platform. This transaction demonstrates how partnership with purpose can mobilise capital at scale and advance financial inclusion across Asia.”

In recent years, VPBank has continuously advanced its sustainable development strategy by integrating ESG standards into its business operations, expanding green and social finance, and increasing access to high-quality international funding sources. Complementing this financing, IFC will also support VPBank in strengthening its agri-finance capabilities and expanding financing for agricultural SMEs.

The $730 million facility follows a series of major international financing transactions completed by the bank during 2025-2026. In June 2026, VPBank and 15 international financial institutions signed the bank’s first $1.44 billion Sustainability-Linked Loan. Earlier, in 2025, VPBank successfully raised $2.36 billion, including a $1.56 billion international syndicated loan and a $300 million international sustainable bond issuance.

This growing pipeline of transactions, featuring increasingly diverse structures, maturities, and formats, further strengthens VPBank’s ability to access international capital markets. These resources support the bank’s long-term growth strategy, enhance its capacity to deliver financial solutions to customers, and reinforce its role in connecting international capital flows with the development needs of Vietnamese businesses and the broader economy.

VIR