On July 30, HDBank signed a US$721 million international syndicated social loan, the largest ever raised by a Vietnamese organization. The loan, coordinated by the Asian Development Bank (ADB) and Standard Chartered, attracted commitments about 60% above the original target, underscoring strong global investor confidence in HDBank and Vietnam's economic prospects.
The proceeds will be used to expand access to finance for micro, small, and medium-sized enterprises (MSMEs), with a focus on women-owned businesses. This aligns with HDBank's sustainable finance framework and the Social Loan Principles, supporting financial inclusion and sustainable development in Vietnam. The facility marks a milestone for HDBank, being its first financing dedicated exclusively to social initiatives, including programs supporting women.
Dr. Nguyen Thi Phuong Thao, Permanent Vice Chairwoman of HDBank's Board of Directors, described the loan as a new milestone, emphasizing the bank's long-standing commitment to community development through programs supporting businesses, healthcare, education, culture, sports, women, and children. Tran Hoai Nam, Permanent Deputy CEO, noted that the proceeds will strengthen HDBank's medium- and long-term funding base while expanding lending to SMEs, particularly those led by women.
The transaction saw participation from major international financial institutions as mandated lead arrangers and bookrunners, including ANZ, Cathay United Bank, Commerzbank, Maybank Securities, MUFG Bank, and the State Bank of India. The strong interest from investors reflects optimism about Vietnam's long-term growth and the growing appeal of its sustainable finance market.
This record social loan builds on HDBank's previous successes in sustainable finance, having secured US$270 million in green financing and US$380 million in sustainable finance from international development finance institutions like IFC, ADB, Proparco, DEG, LeapFrog, FMO, BII, JICA, FinDev, and SMBC. The new facility underscores HDBank's leadership in sustainable banking in Vietnam and its role in driving financial inclusion.
