Digital bank Ho Chi Minh City Development Commercial Bank (HDBank) has successfully issued a second tranche of international green bonds worth $50 million to the Dutch Entrepreneurial Development Bank (FMO) and British International Investment (BII), the United Kingdom’s development finance institution and impact investor, completing its $100 million international green bond initiative in 2025.
HDBank said in a statement on Monday that the bonds included $30 million privately issued to FMO and $20 million to BII.
The first tranche was issued to International Finance Corporation (IFC), which facilitated the participation of FMO and BII in the second tranche.
The bonds have a three-year term, are non-convertible and unsecured and issued without warrants.
“Sustainable development goals lie at the heart of HDBank’s strategy, which is centered on delivering the best value for customers, partners and the community,
“This international green bond initiative marks an important stepping stone on our journey towards achieving those goals,” said Nguyen Huu Dang, HDBank’s Chief Executive Officer.
The issuance help diversify HDBank’s funding sources, support its sustainable growth strategy and create a foundation for it to continue attracting additional international capital for green finance, sustainable development and inclusive finance initiatives in Vietnam.
This, in turn, helps customers access capital to deploy solar energy projects, electric vehicles, green buildings, and other energy-saving solutions.
Projects financed by the green bond proceeds must undergo rigorous screening, meet environmental and social risk management requirements, and comply with eligibility criteria under the bank’s Sustainable Finance Framework.
These projects are expected to reduce approximately 102,000 tons of carbon dioxide (CO₂) over 10 years, improve environmental quality and contribute to Vietnam’s Net Zero 2050 commitment.
Weichuan Xu, IFC’s lead for the Financial Institutions Group in Vietnam, Cambodia and Lao PDR, said the issuance marked a significant step in expanding HDBank’s climate finance portfolio and advancing Vietnam’s economic and social progress.
“The funds raised will support projects that foster sustainable industries, generate jobs and strengthen communities,” he added.
Representatives from FMO and BII also highlighted the transaction as a strong signal of the growing readiness and potential of Vietnam’s sustainable finance ecosystem, helping attract more capital for climate-responsible projects.
With this milestone, HDBank reinforces its commitment to sustainable finance and the long-term prosperity of its customers, partners and the community, while expanding its presence on the global financial map.