The OPEC Fund for International Development has extended a US$50 million loan to Southeast Asia Commercial Joint Stock Bank (SeABank) to increase lending to micro, small and medium-sized enterprises (MSMEs) and finance climate-focused investments in Viet Nam.
The loan aims to help SeABank address the significant financing gap faced by MSMEs, which account for approximately half of employment in the country. Part of the funding will be directed toward investments in energy efficiency, green buildings, rooftop solar, and electric mobility, supporting Viet Nam's transition to a low-carbon economy.
OPEC Fund President Abdulhamid Alkhalifa emphasized the importance of small businesses to Viet Nam's economy, stating, "This financing will help more companies access the capital they need to invest and expand, while supporting practical climate solutions that can strengthen competitiveness and resilience."
The new loan agreement builds on a partnership between SeABank and the OPEC Fund that began in 2022 with a first loan supporting local SMEs, including women-owned businesses, as well as climate projects. Le Thu Thuy, SeABank's Vice Chairwoman of the Board of Directors, noted, "This financing marks an important milestone in our partnership with the OPEC Fund, reinforcing SeABank's commitment to inclusive and sustainable growth. It also advances our role as a financial intermediary in mobilizing and channeling international capital to support Viet Nam's sustainable development priorities."
The OPEC Fund's support is expected to enhance SeABank's capacity to provide accessible financing to underserved segments of the economy, particularly small businesses that are crucial for job creation and economic diversification. By integrating climate objectives into its lending portfolio, SeABank can also contribute to Viet Nam's environmental goals, including reducing greenhouse gas emissions and promoting renewable energy adoption.
Viet Nam has emerged as a key destination for international climate finance, with growing demand for investments in sustainable infrastructure and clean technology. The partnership between the OPEC Fund and SeABank exemplifies how development finance institutions can collaborate with local banks to scale up private sector participation in climate action. For more information, visit SeABank's website.
The US$50 million loan is part of the OPEC Fund's broader strategy to support sustainable development in partner countries, with a focus on poverty reduction, energy access, and climate resilience. By channeling funds through local financial institutions, the OPEC Fund aims to maximize the impact of its resources while strengthening the capacity of partner banks to serve their communities.
