MUFG pilots sustainable deposit scheme in Vietnam

MUFG pilots sustainable deposit scheme in Vietnam

The bank’s sustainable deposit allows its clients in Vietnam to place term deposits that would go towards funding eligible sustainability-linked and social loans. Such deposits are matched against an aggregated basket of eligible sustainability-linked (SLLs) or social loans as stated by the MUFG Asia-Pacific Sustainable Deposit Framework, developed in collaboration with consultant ERM.

This is in conjunction with the launch of MUFG’s green deposit in Vietnam, making it the 10^th market across Asia-Pacific to have rolled out the solution.

The sustainable deposit is a part of a comprehensive suite of environmental, social, and governance (ESG) financing solutions, across various related financing instruments, such as green and sustainability-linked loans, green deposits, and green trade finance products. Through MUFG’s role as a financier with strategic priorities towards ESG, MUFG encourages local companies to have more involvement in promoting Vietnam’s sustainable development.

Belinda Han, MUFG’s head of transaction banking for Asia-Pacific, said, “We are pleased to launch MUFG’s sustainable and green deposits in Vietnam. Both solutions are positioned to better bridge a growing demand for low-barrier-to-entry ESG liquidity management products, thereby creating a compelling ‘ESG Deposit’ proposition that would enable clients to channel their excess liquidity towards SLL, social, or green financing efforts, depending on their objectives.”

MUFG is one of the world’s leading financial groups. Headquartered in Tokyo and with over 360 years of history, it has a global network with approximately 2,000 locations in more than 40 markets.

For MUFG Vietnam, ESG brings opportunities to directly contribute to the transformation of its clients and Vietnam as a country. MUFG signed an MoU with strategic partner VietinBank to further support Vietnam’s sustainable development, which includes mobilising up to $1 billion of ESG financing for the country’s climate targets.

The 10th anniversary VietinBank - MUFG strategic alliance The year 2023 will mark the 10th anniversary of the VietinBank - MUFG strategic alliance. This is a significant milestone on the collaboration journey of the two banks and triggers so many special memories.

Committed to empowering a brighter future MUFG Vietnam believes empowering members of business and society to address environmental and social issues is an integral part of its mission. With that, we have been making relentless efforts to initiate conversations with clients and policymakers about the importance of transition finance.

VietinBank and MUFG Bank celebrate 10 years of strategic alliance VietinBank and MUFG Bank Ltd. have commemorated the 10-year strategic alliance that has enabled both organisations to support the growth of Vietnam’s banking sector and foster deeper Vietnam-Japan exchanges.

MUFG and NIC jointly propel Vietnam’s startup ecosystem A new partnership will support the development of Vietnamese startups in international markets while introducing global and Japanese tech firms to Vietnam’s opportunities.

MUFG’s BWG chairmanship begins in April MUFG Vietnam will take over the chair of the Banking Working Group (BWG), one of the most active working groups under the Vietnam Business Forum (VBF) from April 1. The VBF serves as a regular and high-level channel of communication between the business community and the government.