In Vietnam, Proparco supports EVF General Finance in its commitment to climate finance and women’s entrepreneurship

Climate finance and access to finance for women entrepreneurs are important priorities for Vietnam as it works towards more sustainable and inclusive growth. As the country targets carbon neutrality by 2050, climate finance is key to supporting renewable energy and other sustainable projects, while women-owned businesses, which account for over 20% of the country’s business landscape, continue to face barriers to finance and growth.

EVF General Finance JSC has progressively strengthened its activities in both areas. Initially focused on financing the energy sector, particularly renewable energy, the institution has expanded its climate finance activities and strengthened its support for women-owned small and medium-sized enterprises.

Building on an initial USD 10 million loan provided to EVF by Proparco in 2021 to support its climate finance activities, Proparco is renewing its support with a new USD 20 million senior loan. Under this new transaction, 50% of Proparco’s loan will be dedicated to financing projects with climate co-benefits, while the remaining 50% will finance women-led or women-owned SMEs. Through its commitment to women’s entrepreneurship, the project is eligible for the 2X Challenge, the international initiative aimed at advancing women’s economic empowerment.

The transaction also contributes to Team France’s commitment to Vietnam’s Just Energy Transition Partnership (JETP), signed in 2022 and aimed at mobilising USD 15.5 billion to support the country’s transition towards carbon neutrality by 2050.

Jean-Benoît du Chalard, Proparco’s Regional Director for North and Southeast Asia, said: “We are pleased to renew our support for EVF, a long-standing partner of Proparco, and through this new transaction to contribute to two key priorities for Vietnam: accelerating the financing of the climate transition and strengthening women entrepreneurs’ access to finance.” 

Dinh Ngoc Bao, EVF’s Head of International Markets Department/ Deputy Head of Treasury Division, said: “The renewal of our partnership with Proparco is an important milestone in EVF’s sustainable finance journey. To date, EVF has a portfolio of over US$280 million dedicated to green financing and more than US$700 million to WSME financing, reflecting our commitment to expanding responsible access to finance and supporting sustainable economic growth in Vietnam. We look forward to building on this track record with Proparco and further developing innovative financing solutions that respond to the evolving needs of businesses and contribute to Vietnam’s long-term development.”