VPBank affirms its sustainable development

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VPBank has made efforts in pursuing a long-term strategy of sustainability and building the image of a green bank. — Photo courtesy of the bank

HÀ NỘI — VPBank continues to be in the Top 20 companies with stocks in the Việt Nam Sustainability Index (VNSI) in the assessment period of 2021. This is the third consecutive year that VPBank has achieved this result.

Sustainable development assessment at listed companies is an annual programme conducted by the Hồ Chí Minh Stock Exchange (HoSE) with the goal of promoting responsible and sustainable investment in the country’s stock market. The VNSI has been implemented since July 2017 by HoSE in collaboration with Germany’s International Co-operation Agency (GIZ) and the State Securities Commission on the responsiveness of listed companies to sustainability practices, including the Global Reporting Initiative (GRI) Standards, the 2015 G20/OECD Corporate Governance Principles, the Principles of Corporate Governance according to best practices 2019 and some legal regulations on securities in Việt Nam. The assessment results are reviewed by an independent third party, PwC Vietnam Co Ltd, ensuring accuracy and high reliability.

VPBank’s score reached 79 per cent, significantly higher than the industry average and the average score of the top VN100. Notably, VPBank’s scores on all three aspects of Environment, Society and Governance have improved markedly compared to the previous evaluation period, showing that the bank has continuously improved its sustainable performance. Accordingly, its Environmental performance reached 77 per cent (up 40 per cent), Social performance achieved 89 per cent (up 15 per cent) and Governance performance reached 74 per cent (up 7 per cent). This is an extremely impressive result when compared with the industry average (Environment: 49 per cent, Social: 74 per cent, Administration: 74 per cent) and the average score of VN100 basket.

This result has affirmed VPBank’s efforts in pursuing a long-term strategy of sustainability and building the image of a green bank by the early implementation of the environmental and social risks management system according to international standards and develop sustainable financial solutions.

The year 2021 marks VPBank’s breakthroughs in sustainable contributions when its green credit portfolio grew by over 300 per cent, contributing nearly VNĐ500 billion to the Government and people in minimising the negative impacts of natural disasters and the COVID-19 pandemic. The bank successfully mobilised US$300 million from international capital to support the development and supplement liquidity for small-and-medium enterprises (SMEs) to survive and overcome the pandemic’s difficult period with a particular focus on women-led SMEs.

The sustainable development report issued by HoSE has not only recognised VPBank’s contributions, but also is an opportunity for the bank to re-evaluate existing problems and come up with stronger solutions towards sustainability goals. Through the principle of responsible lending, VPBank is committed to continuing to build a mutually beneficial, sustainable and comprehensive ecosystem in the post-COVID-19 era through upgrading its environment – society – governance management structure and enhancing efforts in the field of green finance and innovation finance.

The results of VPBank’s 2021 sustainable development assessment was sent to domestic and foreign investors, and published on the bank’s official website. — VNS

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