Vietnam's Urgent Need for a Green Finance Framework

November 17, 2025 - 08:45

Vietnam is in critical need of a clearer framework for green finance to develop its carbon trading and renewables ecosystem, which is essential for reshaping its industrial future. As the country grapples with the challenges of climate change and environmental degradation, establishing a robust green finance strategy has become a priority. This framework would not only facilitate investments in sustainable energy projects but also promote the transition towards a low-carbon economy.

The current lack of a structured approach to green finance hampers Vietnam's ability to attract foreign investment and leverage its renewable energy potential. By implementing a comprehensive green finance framework, the government can enhance transparency and accountability in financing initiatives aimed at reducing carbon emissions.

Moreover, this framework could foster innovation in green technologies and create a supportive environment for businesses committed to sustainability. As Vietnam seeks to balance economic growth with environmental responsibility, a well-defined green finance strategy will be crucial for achieving long-term sustainability goals.