The Japan International Cooperation Agency (JICA) signed a Yen Loan Agreement (L/A) with the Government of the Socialist Republic of Vietnam for the “GX Program Loan for Green Growth and Climate Resilience” on March 30, 2012 in Hanoi, the capital of the Socialist Republic of Vietnam. The Loan Agreement (L/A) was signed by Mr. Tran Quoc Huong, Deputy Minister of the Ministry of Finance of the Socialist Republic of Vietnam, and Mr. Yosuke Kobayashi, Director of JICA Vietnam Office.
Vice Minister Tran Quoc Huong Director Yosuke Kobayashi
This project aims to promote Green Transformation (GX), green growth, and climate change measures and climate change adaptation measures that aim to simultaneously realize stable energy supply, economic growth, and emission reductions by supporting the implementation of high priority policies and other measures to combat climate change in Vietnam. With more than 2,000 Japanese companies operating in Vietnam, it is one of the most promising countries in ASEAN as a future business destination. This project is expected to contribute to the development of both Japan and Vietnam through collaboration between Japanese companies active in the fields of GX, green growth, climate change countermeasures and disaster prevention, and the Vietnamese government.
A summary of the business is as follows
Project Summary
GX Program Loan for Green Growth and Climate Resilience
Program Loan for Green Transformation toward Green Growth and Climate Resilience
Country (Region)
Socialist Republic of Vietnam (All of Vietnam)
Business Objectives
This project will contribute to the realization of the country’s climate change action goals through financial support and policy dialogue in Vietnam by (1) developing institutions for fiscal and investment incentives for GX and green growth, (2) formulating policies for implementing NDC (nationally determined contributions), and (3) promoting climate change adaptation measures.
Business
Based on the country’s NDC and policy documents such as the “National Green Growth Strategy for 2021-2030 and Vision to 2050 (2021),” the project will help improve policies for promoting climate change measures by providing financial support to the government and JICA to formulate a policy matrix that focuses on (1) institutional development of fiscal and investment incentives for GX and green growth, (2) policy development for implementation of the NDC, (3) promotion of climate change adaptation measures. The project aims to support the improvement of policies related to the promotion of climate change measures by providing financial support through the formulation of a policy matrix with the following three pillars: (1) institutional development related to fiscal and investment incentives for GX and green growth, (2) policy development for the implementation of NDC, and (3) promotion of climate change adaptation measures.
Loan amount (maximum)
50 billion yen
Interest Rates
Main body: 1.5
Redemption period
15 years (including 5 years of deferment)
Procurement Conditions
General untied
Implementing Agency
Ministry of Finance, Vietnam
Contribution to the achievement of the SDGs
Goal 7 (Energy for All and Clean)
Goal 9 (Create a foundation for industry and technological innovation)
Goal 11 (Create a community where people can continue to live)
Goal 13 (take concrete action on climate change)
Goal 15 (Let’s also protect the abundance of land)
Schedule for future project implementation (tentative)
Project completion date: December 2026 (project completion upon completion of all loans)
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