The Commercial Bank for Foreign Trade of Vietnam (Vietcombank) and the Japan Bank for International Cooperation (JBIC) exchanged a credit contract worth $200 million to fund renewable energy projects in Vietnam.
Prime Minister Nguyen Xuan Phuc (second from left) at the event
Theexchange of the 14-year contract was witnessed by Prime Minister Nguyen XuanPhuc and his Japanese counterpart Shinzo Abe.
Theloan was arranged by JBIC and provided by MUFG Bank, Mizuho Bank, the JoyoBank, and the Nishi – Nippon City Bank.
JBICis a public financial institution and credit export agency of the Japanesegovernment. It is tasked with promoting economic cooperation between Japan andother nations by promoting resources for foreign investment and fosteringinternational commerce. It also plays a major role in promoting Japaneseexports and imports.
The bank was one of the instruments ofJapan's official development assistance (ODA), which contributes tothe implementation of the country’s foreign policy. Looking to promotesustainable development, JBIC is concerned about social and environmentalissues, and requires environment impact studies to provide funding for anyproject.
In Vietnam, JBIC is providing loans for Nghi Sonchemical refinery plant; Nghi Son 2, Van Phong 1, and Vung Ang 2 thermal powerplants.-VNA