Vietnam’s SeABank receives $50 M loan from OPEC Fund for environment and small business lending

Vietnam’s Southeast Asia Commercial Joint Stock Bank (SeABank) received a $50 million loan from the OPEC Fund for International Development to increase funding for small enterprises and climate-related investments throughout the country.

SeABank said in a statement on Monday that the loan will enable it to expand lending to micro, small, and medium-sized businesses, which make up around half of Vietnam’s workforce but still have a major funding shortfall. Investments in rooftop solar, green buildings, energy efficiency, and electric vehicles will also receive a portion of the financing.

According to OPEC Fund President Abdulhamid Alkhalifa, small enterprises are essential to Vietnam’s economy and a major source of employment and expansion. The funding will promote workable climate solutions that boost resilience and competitiveness while giving more businesses access to cash for growth and investment.

According to Le Thu Thuy, Vice Chairwoman of the Board of Directors at SeABank, the funding represents a significant turning point in the bank’s collaboration with the OPEC Fund. It can reaffirm SeABank’s dedication to equitable and sustainable growth as well as its function in raising foreign funding to assist Vietnam’s sustainable development goals.

The financing expands on the collaboration between SeABank and the OPEC Fund, which started in 2022 with a first loan that supported climate projects and local SMEs, especially women-owned enterprises.