VIB arranged VND 780 billion syndicated loan for EVN

Vietnam International Bank (VIB) and Northern Power Corporation under Electricity of Vietnam (EVN NPC) has signed a syndicated loan agreement of VND 780 billion to sponsor Phuoc Thai 1 Solar power plant project. This syndicated loan as a result of collaboration among VIB, Taipei Fubon Commercial Bank (Ha Noi branch, Ho Chi Minh branch) and Woori Bank Vietnam Limited – Ha Noi Branch, is the first syndicated loan with co-financing between a local bank and foreign bank branches in Vietnam to EVN.

Phuoc Thai 1 solar power plant with capacities of 50MWp, in Phuoc Thai commune, Ninh Phuoc District, Ninh Thuan Province, is invested by EVN. The project with a total investment level of nearly VND 1.113 billion including its own capital and domestic commercial loans, commenced in fourth quarter of 2019 and expected to be completed in 9 months from the commencement date. When putting into operation, the project will add about 80.975 million kWh/year to the national electricity system.

Being the focal point for arranging VND 780 billion syndicated loan in collaboration with others foreign bank branches to sponsor Phuoc Thai 1 solar power plant, VIB not only supports all investment activities of EVN , but also contributes to the improvement of electric generation, meets higher energy demand for South Central and Southern Vietnam.

With the advantage of using clean energy to generate electricity without greenhouse gas emissions and causing environmental pollution, Phuoc Thai 1 solar power plant project is suitable for The renewable energy development strategy of Vietnam that approved by Prime Minister. Moreover, the co-financing banks also appreciate VIB’s reputation and professionalism in arranging capital for a renewable energy project invested by EVN.

This cooperation reaffirms EVN’s reputation in the financial market, the credibility and support of local banks and foreign bank branches in Vietnam to EVN.

Previously in June 2018, EVN was the first state-owned enterprise in Vietnam to be ranked as a level debt issuer at BB by Fitch Ratings (one of the prestigious credit rating organizations in the world) with "stable outlook" on long-term loan in foreign currency. This ranking helps EVN to operate more transparently, integrate internationally, create more opportunities to approach new donors, new sources of capital like this syndicated loan as well.

 VIB is one of the first two banks to be recognized by the State Bank of Viet Nam for Basel II application from January 1, 2019 onwards. Besides financial activities, prestigious international organizations also rates VIB highly on other business activities and services.  Moody’s Investors Service rated VIB at the level B1 on credit rating.  For the 3rd year in a row, the Asset magazine awarded VIB ‘Digital Bank of the year’ and ‘Best Retail Digital Banking Experience‘. The international card organization MasterCard recognized VIB as a leading bank in e-commerce transactions and value of credit card spending in 2018.  VIB is the only Viet Nam bank to be honored as the ‘Leading SME trade bank’ by Asian Development Bank (ADB) in 2019.