The State Bank of Vietnam is currently submitting to the Government a draft decree providing 2% interest rate support from the State budget to private-sector enterprises, business households and individual business owners that borrow from banks to implement green projects, circular economy projects and projects applying an ESG standards framework. This information has attracted significant interest from businesses, business households and individual customers, as this source of funding will provide strong impetus to turn each customer into a “green cell” of the economy.

In recent years, Agribank, with its mission as a “Bank for the Community”, has taken practical steps to extend green credit to business households and individual customers. Specifically, Agribank has implemented a credit programme supporting linkages in the production, processing and consumption of high-quality, low-emission rice in the Mekong Delta. Cumulative disbursements have exceeded VND 2.4 trillion, with outstanding loans reaching nearly VND 793 billion. Outstanding loans for rice production and business activities within the planned one-million-hectare specialised rice cultivation area have exceeded VND 17.25 trillion. Outstanding loans to customers included in the list of participants in the one-million-hectare rice project have reached more than VND 1.35 trillion.

For individual customers, Agribank offers a VND 80 trillion credit package. The package provides preferential loans for production and business activities under the programme “Capital in Hand – Sustainable Business”; loans at preferential interest rates under the programme “Green Journey – By Your Side” for individual customers seeking financing to purchase electric vehicles; and preferential loans under the programme “Mechanisation – Enhancing Agricultural Value” for individual customers seeking financing to purchase machinery and equipment for agricultural production. Agribank also provides preferential green credit to individual customers seeking loans for personal needs, production and business activities under green and environmentally friendly plans or projects. Loan disbursements have reached nearly VND 58.27 trillion for more than 33,070 customers, with outstanding loans of nearly VND 43.77 trillion.

More specifically, in May, Agribank launched a credit programme for individual customers implementing green and environmentally friendly plans and projects, contributing to the promotion of green consumption, green production and sustainable development. The credit package has a total size of VND 3 trillion and runs through 14 May 2027, with preferential interest rates starting from 5.8% per annum. The programme aims to encourage people to purchase and install rooftop solar power systems for household needs or for commercial business involving rooftop solar power products; purchase electric cars for business purposes; and finance forest planting and forest care projects or plans.

Previously, in 2025, Agribank also launched the preferential lending programme “Green Journey – By Your Side”, with a credit package of up to VND 2 trillion, for individual customers seeking loans to purchase electric cars and motorcycles. The programme offered preferential interest rates starting from 4.5% per annum, fixed for up to 18 months, with financing of up to 100% of the vehicle value. This was one of Agribank’s practical actions to help reduce emissions from motor vehicles.

Comprehensively greening Agribank’s credit flows is not solely aimed at environmental protection; it is also part of Agribank’s business strategy, risk management and fulfilment of its mission as a key bank serving agriculture, farmers and rural areas. As Agribank shifts capital from activities with high levels of pollution and emissions towards renewable energy, green agriculture, sustainable forestry and the circular economy, Agribank is creating an impact far greater than simply “greening” its office operations.

By comprehensively greening its credit flows and embedding ESG principles internally, Agribank is demonstrating its pioneering role in working alongside the Party, the Government and the banking sector to fulfil the Net Zero commitment by 2050 and achieve sustainable development goals in the new era.

Kylie Nguyen