MSB UNVEILS SUSTAINABLE FINANCE FRAMEWORK, REAFFIRMING ITS COMMITMENT TO VIETNAM'S GREEN FUTURE
MSB UNVEILS SUSTAINABLE FINANCE FRAMEWORK, REAFFIRMING ITS COMMITMENT TO VIETNAM'S GREEN FUTURE
Maritime Bank (MSB) has officially announced its Sustainable Finance Framework (SFF), marking a significant milestone in its journey towards sustainable development and underscoring the bank’s long-term commitment to green growth, environmental and social balance, and stakeholder interests.
The Sustainable Finance Framework was developed with technical support from the International Finance Corporation (IFC), a member of the World Bank Group. Subsequently, S&P Global Ratings—an international credit rating agency—issued an independent Second Party Opinion (SPO) on MSB's SFF.
The SFF is established in full alignment with principles issued by the International Capital Market Association (ICMA), the Loan Market Association (LMA), the Asia Pacific Loan Market Association (APLMA), and the Loan Syndications and Trading Association (LSTA).
Accordingly, proceeds from each of MSB's green, social, or sustainable loans or bonds will be used to finance or refinance eligible assets and projects across eight green sectors, five social objectives, or a combination of both. This serves as a foundation to promote the United Nations 2030 Agenda, including the 17 Sustainable Development Goals (SDGs), while contributing to Vietnam’s net zero emissions target by 2050, in line with the Government's commitment.
The SFF is structured around four core components: identification of eligible assets/projects aligned with use-of-proceeds criteria; the process for evaluating and selecting assets/projects; management of proceeds; and reporting (including allocation and environmental impact reports).
MSB’s primary objective is to foster opportunities in green sectors such as renewable energy, energy efficiency, clean transport, green buildings, sustainable water and wastewater management, and climate change adaptation. Social projects are also prioritized, including financial inclusion, healthcare, education, gender equality, and affordable housing.
According to S&P Global Ratings, MSB is demonstrating effective progress through focused investments supporting green transitions, contributing to the resolution of urgent environmental challenges in Vietnam such as greenhouse gas emissions and pollution.
Moreover, MSB is among the few pioneers in Vietnam’s banking industry to apply the Partnership for Carbon Accounting Financials (PCAF) standards to measure financed emissions from lending activities (Scope 3). Collaborating with advisory partners to calculate emissions across its entire operations, MSB is leading the market and demonstrating a superior level of commitment to climate risk management compared to regional practices. S&P Global Ratings also noted that MSB’s SFF exhibits no weaknesses in sustainable development activities, further enhancing the bank’s reputation and standing with international investors.
MSB’s Sustainable Finance Framework serves not only as a foundation for capital mobilization but also guides the bank’s credit activities, propelling both MSB and its clients towards green growth, mitigating environmental and social risks, and balancing economic objectives with community benefits.
In recent years, in line with global trends and guidance from authorities, MSB has taken sustainable development as a key operational focus. On the risk management front, in 2023, MSB implemented an Environmental and Social Management System (ESMS) across its entire lending portfolio, including exclusion list screening, loan categorization, environmental-social risk assessment, and requiring action plans from clients when necessary. MSB's ESMS and reporting comply with domestic legal requirements and integrate international operational standards. In 2024, the bank developed an internal green taxonomy to support green credit product development and launched green lending packages totaling up to VND 3,500 billion.
Through the announcement of its Sustainable Finance Framework, MSB has not only enhanced its capacity to mobilize green and social capital in the domestic and international financial markets but also reaffirmed its pioneering role in promoting sustainable development trends in Vietnam, contributing to the realization of national goals on green growth and climate change adaptation.
MSB Sustainable Finance Framework