EIB Global supports Vietnam's Just Energy Transition
25 October 2023
The EIB and Vietnam have signed a memorandum of understanding to collaborate on shared goals designed to deliver Vietnam’s Just Energy Transition.
The memorandum calls for increased investment of €500 million by EIB Global to support Vietnam as it works to accelerate an energy transition that will benefit both people and the planet.
The agreement demonstrates EIB Global’s commitment to promoting investment in climate mitigation and resilience, part of the EU’s Global Gateway initiative.
At the Global Gateway Forum held in Brussels today, a memorandum of understanding was signed between the European Investment Bank (EIB) and Vietnam to support the implementation of the Just Energy Transition Partnership (JETP) in the country. The signing was attended by Teresa Czerwińska, Vice-President of the EIB; Ursula von der Leyen, President of the European Commission; and Tran Hong Ha, Vietnamese Deputy Prime Minister.
This memorandum signifies a mutual commitment to put in place a multi-project credit facility worth €500 million, soon to be finalised. Once established, the facility will allow projects supporting decarbonisation and energy transition to be financed under a framework loan.
At the signing, EIB Vice-President Teresa Czerwińska explained, “The EIB's €500 million commitment goes beyond finance, driving a transition to sustainable energy and a resilient economy in Vietnam. Through initiatives like Global Gateway we, together with the European Commission, are turning global challenges into opportunities for sustainable development and innovation.”
Speaking at the Brussels event, President of the European Commission Ursula von der Leyen said, “Today, we are taking an important step to support Vietnam’s ambitious net zero goal for 2050. The European Commission, the EIB and Vietnam are partnering to support the renewable energy transition and energy security. With this €500 million of funding, Global Gateway is making a difference for the people of Vietnam.
Through Global Gateway, the European Union is committed to helping Vietnam achieve a just energy transition and reach its national and international climate goals through an effective JETP. The implementation of Global Gateway in Vietnam will also focus on the areas of green, circular economy and sustainability, as well as education and skills. This includes projects on forest value chains, skills development, and technical and vocational education and training, among others.
EIB Global is the EIB Group’s new specialised arm devoted to increasing the impact of international partnerships and development finance outside the European Union. EIB Global is designed to foster strong, focused partnership within Team Europe and as part of the EU Global Gateway strategy, alongside fellow development finance institutions and civil society. EIB Global brings the EIB Group closer to local people, companies and institutions through our offices around the world.
The Global Gateway Forum is the first gathering of its kind of government representatives from the European Union and across the globe, along with key stakeholders and thought leaders from the private sector, civil society, financial institutions and international organisations to promote global investment in transformative hard and soft infrastructure to deliver on the UN Sustainable Development Goals.
Global Gateway is the European Union’s strategy to reduce the worldwide investment gap and boost smart, clean and secure connections in the digital, energy and transport sectors, and to strengthen health, education and research systems. The Global Gateway strategy embodies a Team Europe approach that brings together the European Union, Member States and European development finance institutions. It aims to mobilise up to €300 billion in public and private investments between 2021 and 2027, creating essential links rather than dependencies, and closing the global investment gap.
Today, EIB Vice-President Kris Peeters welcomed Vietnamese Prime Minister Phạm Minh Chính and Chairman of Vietnam Electricity Duong Quang Thanh to the European Investment Bank (EIB) for a meeting and signing ceremony for the memorandum of understanding between the EIB and Vietnam Electricity (EVN), the national electricity company of Vietnam. It was the prime minister’s first visit to the EIB headquarters and followed a series of meetings with Luxembourg government officials.