HDBank and Proparco credit financing tops $100 million

The new agreement underscores Proparco’s commitment to working with HDBank

Last week, HDBank and Proparco, a subsidiary of the AFD Group, signed a credit facility for $50 million. With the transaction, Proparco has so far granted total financing up to $100 million to HDBank, underscoring Proparco’s trust and commitment to accompanying HDBank on its sustainable development journey.

The credit facility aims to fund climate finance projects and women-owned businesses in line with the 2X Challenge criteria, a global initiative to promote gender equality and sustainable development.

Previously, HDBank and Proparco made great strides in strengthening their partnerships. In 2021, Proparco granted a five-year senior credit facility to HDBank for $50 million to help the bank finance renewable energy projects in Vietnam.

HDBank has acted as a bridge between its corporate clients and Proparco and vice versa to explore any potential collaboration for the purpose of boosting sustainable development in Vietnam and globally. Along with other international financial institutions, Proparco has made a positive contribution to the process of building and perfecting HDBank’s environmental and social risk management system.

It marks an important milestone for HDBank when securing Proparco’s support for renewable energy, climate finance, and gender equity. Thus, the bank can expand its partnership with other financial institutions globally, especially in green finance. The credit facility with Proparco serves a strong testament to HDBank’s efforts to implement the environmental, social, and governance (ESG) criteria in line with international standards.

In Vietnam, HDBank was the first commercial bank to release its sustainable development report in 2024. The bank is also a pioneer in setting up an ESG committee to directly lead and monitor the implementation of sustainable development goals and initiatives.

In light of the positive contributions to green finance and sustainable development, HDBank has earned recognition and appreciation from many international organisations over the past few years.

HDBank is the first member bank of the Asian Development Bank (ADB) to receive the Green Deal Award. The bank was also named Best Green Financing in Vietnam at The Asian Banker Vietnam Excellence Awards. In early September, the ADB recognised HDBank as a leading partner in Vietnam for a second consecutive year under the Trade and Supply Chain Finance Programme.

Proparco is a development finance institution under the French Development Agency. Over the past 40 years, Proparco has supported private sector development by offering loan financing, direct investment, and consulting support to private sector enterprises and financial institutions in Africa, Asia, Latin America, and the Middle East. Its action focuses on the key development sectors, including infrastructure, mainly for renewable energies, agribusiness, financial institutions, health, and education.

HDBank approves dividend payment of 30 per cent in cash and stocks Ho Chi Minh City Development Joint Stock Commercial Bank (HDBank—HSX: HDB) will pay a dividend of 30 per cent for 2023, including 10 per cent in cash and 20 per cent in shares, according to a resolution announced by its Board of Directors on July 2.

HDBank's H1 2024 profit reaches $323 billion HDBank has announced its financial statement for the second quarter of 2024, with a pre-tax profit of over $322.8 million for the first half of the year, up 48.9 per cent on-year.

HDBank posts outstanding business results in first half of 2024 HDBank held its Q2 investor conference on August 8, where it announced positive business results for the first half of the year.