A Citi Vietnam executive has spoken about the bank’s initiatives for carbon market development at an event in Hanoi.
Pham Huu Hai, Citi Vietnam’s Corporate Banking head and Hanoi Branch director, highlighted Citi’s carbon offset initiatives at the Developing a Carbon Market: International Experience and Policy Implication for Vietnam seminar on November 23 in Hanoi.
The seminar was organised by the Ministries of Foreign Affairs and Natural Resources and Environment, along with the Organisation for Economic Cooperation and Development.
During the panel discussions, representatives from the government, finance companies, academia, and the private sector agreed that among the tools to be used for the green transition, developing a carbon offset market is an essential requirement for Vietnam.
|This February, Citi acted as an arranger and structurer on an emissions reduction-linked bond with the World Bank.
Hai emphasised that carbon offset markets have increasingly been seen as part of the solution to climate change.
He stressed the pioneering role of Citi in initiating carbon credit projects in Vietnam and reaffirmed its commitments to supporting clients’ net-zero ambitions.
Citi closed the very first voluntary carbon credit (VCC) transaction in late May 2022 as the offtaker to buy VCCs from a project developer who manufactures and distributes improved cook stoves and water purifiers to low-income rural communities in Vietnam.
This February, Citi also acted as an arranger and structurer on an emissions reduction-linked bond with the World Bank. This Water Purifiers for Schools project will enable access to clean drinking water for two million children in Vietnam.
“These VCC transactions demonstrate Citi’s ability to innovate and put the bank at the forefront of the carbon credit market. They serve as a model for replication to support other carbon credit generating projects and are a testament to the excellent opportunities for carbon credit projects in Vietnam,” said Hai.
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