BAC A BANK named outstanding bank for green credit

November 28, 2019 | 16:22
On November 27, locally-invested BAC A BANK received the “Outstanding Bank for Green Credit Award” within the Vietnam Outstanding Banking Awards 2019 (VOBA) co-organised by International Data Group (IDG) and the Vietnam Banks Association.  

The award means an important event for BAC A, affirming that the bank’s consistent mission to provide investment consultancy for sustainable projects is quite correct as it has contributed to creating real values to the community and the environment.

bac a bank named outstanding bank for green credit

A BAC A BANK representative received the “Outstanding Bank for Green Credit Award”

This year is the first for the “Outstanding Bank for Green Credit Award” to be listed in the VOBA’s award system. It is aimed to extol banks that have policies and products used for environmental-friendly enterprises and projects with sustainable development. Thus right from its debut, the award has gone to BAC A BANK.

Over the past 25 years, BAC A BANK’s set development orientation has been to focus on providing investment consultancy for customers who operate in the sectors of application of high technology in agricultural and rural development, health care, education, and supporting industries for agriculture, contributing to creating a green and safe eco-system.

For example, one of the most outstanding projects with BAC A BANK’s investment consultancy is a $1.2 billion project in the central province of Nghe An, featuring a state-of-the-art dairy cow farm and fresh milk production plant, which currently has more than 45,000 dairy cows and capacity of 500,000 tonnes of fresh milk a year. This project has provided more than 50 per cent of fresh milk materials of Vietnam now.

Also at present, BAC A BANK is providing investment consultancy for a $2.7 billion hi-tech concentrated dairy and fresh milk production project in Russia.

Another project currently also receives the bank’s investment consultancy is the project to produce and export vegetables and flowers, with the application of state-of-the-art technologies in all production stages. This project is implemented in three localities, including Nghe An, the Central Highlands city of Dalat, and the northern province of Thai Binh.

Moreover, BAC A BANK has also been providing investment consultancy for many projects with sustainable development, such as a plant with wood processing and forest development in Nghe An, the Nui Tien plant to produce pure natural water, herbal water, and fruit juice, and the NASU sugar and sugarcane projects.

All these projects have demonstrated the bank’s tireless efforts in providing green credits in agricultural and rural development, and the bank’s strong commitment in sustainable development.

bac a bank named outstanding bank for green credit

Esablished in 1994, BAC A BANK today has enjoyed high growth in loans of high quality, sitting at VND69.24 trillion ($) as of June 30, up 7.49 times against 10 years ago, and 1,603 times against the end of 1995.

Under the bank’s priority in providing credits in sectors and professions with sustainable development, the bank’s credit structure has strongly changed since 2009. Specifically, the bank’s ratio of loans for the agricultural, rural, health care, and educational sectors has been continuously increasing. Since 2013, the ratio has always been accounting for more than 50 per cent of BAC A BANK’s total loans.

As of June 30, 2019, the ratio of loans for these sectors was 57.11 per cent, and the bank’s bad debt is very small, at 0.72 per cent. During the January 1–June 30, 2019 period, the total number of projects and schemes receiving green credits was 284, and the number of customers obtaining green credits from the bank was 286. BAC A BANK’s debts in green credit was VND20.577 trillion ($894.65 million), and the ratio of green credits out of the total debts is 30 per cent.

By Thanh Tung

What the stars mean:

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