2025.08.01
On March 21st, the Japan International Cooperation Agency (JICA) signed a loan agreement with Ho Chi Minh City Development Joint Stock Commercial Bank (HDBank), for Private Sector Investment Finance Project, and held the signing ceremony on July 31st. The loan is co-financed with Development Finance Institute Canada（FinDev Canada）and Sumitomo Mitsui Banking Corporation (SMBC). It is JICA’s first co-financing loan with FinDev Canada.
Also, this loan is the second project under the SMBC-JICA Sustainable Finance Framework, launched on March 30th 2021, which aims at improving borrowers’ sustainable businesses. The framework will utilize JICA’s experience as a development finance institution to identify development challenges, project monitoring, and project impact evaluation. This framework will adopt the common impact evaluation and monitoring majors for the co-finance project, and share and manage the results mutually. With such elements in the framework, it will align internationally recognized guidelines and principles to target the achievements of SDGs and receive a third-party review of the framework to confirm its alignment. Through the framework, JICA will further collaborate with SMBC, mobilize more private funds for developing countries, and contribute to the socio-economic development of developing economies.
Signing ceremony
HDBank’s client (dragon fruit farmer)
Terms and Amount of Loan
- Borrower
Ho Chi Minh City Development Joint Stock Commercial Bank
- Country (Target Areas)
Socialist Republic of Vietnam
- Loan Amount
90 million USD
- Project Title
Agricultural Sector Support Project
- Project Purpose
The Project aims to improve access to finance in the agricultural sector of Vietnam by providing a long-term loan to HDBank, thereby contributing to the expansion of agricultural production and income in Vietnam. In addition, it will provide long-term financing to Vietnam's sustainable finance market, which is still in its infancy, and promote the growth of the country's sustainable market.
- Project Component
The Project provides loans to be sub-loaned through HDBank to Vietnamese Agriculture sector.
- Contribution to SDGs
Goal 1 (No poverty)
Goal 2 (Zero hunger)
Goal 8 (Decent work and economic growth)
- Reference
This project is positioned under the Facility for Supporting Agricultural supply chain and Food security Enhancement (SAFE), established in May 2023.
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