Hong Kong – The Private Infrastructure Development Group (PIDG) has received an international award from FinanceAsia for the Biggest Sustainable Impact of a Nonbank Financial Institution for its work in Vietnam. The trophy was presented at a Gala Dinner held at the Conrad Hong Kong.
The award is in recognition of the combined Environmental, Social and Governance impact of two deal closed in 2024 by PIDG’s guarantee solution, GuarantCo.
AquaOne
GuarantCo provided a VND 1,192 billion (c. USD 47 million) guarantee for Vietnam’s first 20-year project and internationally verified green bond issued by Xuan Mai Water Supply System Project. The project will be operational in early 2026 to supply 150,000 cubic metres a day, improving access to clean water for c. 53,000 people.
This project represents a key step in the Vietnamese government’s efforts to transition away from groundwater sources, the overextraction of which has become environmentally harmful. By using river water, the project is not only enabling a more environmentally sustainable approach but also ensuring a higher quality of water, which will positively impact public health. The project also incorporates climate risk mitigation measures to increase the water system’s resilience to flooding, heat stress, hurricanes and typhoons.
Vietnam’s water quality and availability has suffered in recent years and the need for water treatment for domestic use, as well as industrial and municipal wastewater treatment has increased significantly. Vietnam’s development has been predicated on rapid urbanisation, growth in manufacturing, and large-scale utilisation of agricultural land – all of which require access to reliable, clean and affordable water.
Water projects are notoriously challenging – even in developed markets. There have been limited instances of international debt financings for water projects in Vietnam, with prior instances being structured on a corporate and/or concessional basis. This transaction is notable in establishing international project financing standards within the water sector locally.
More information on this transaction is available here.
IDI Sao Mai
GuarantCo provided a 100% credit guarantee of VND 1,000 billion (c. USD 40 million) to support landmark eight-year, ICMA-aligned green bonds issued by International Development and Investment Corporation (IDI), a Hanoi Stock Exchange-listed subsidiary of Sao Mai Group and one of Vietnam’s top pangasius (catfish) exporters.
The bond proceeds will support IDI’s expansion, including development of fish seeding and processing facility to enhance production capacity and value chain integration. Vietnam’s pangasius industry faces breed degeneration due to a lack of investment in high-quality breeding programs, leading to lower survival rates, increased feed consumption and higher losses. IDI’s new seeding facility aims to restore purebred genetics, reducing feed consumption by 10%, lowering inventory and cold storage costs, and increasing farm yields from 350 to 400 tons/ha – improving both economic viability and ecological sustainability.
Vietnam, the world’s largest exporter of pangasius and third-largest seafood exporter overall, generates up to USD 2.3 billion annually, contributing to 26% of the country’s seafood export earnings. By promoting sustainable practices and addressing global demand for eco-friendly products, this transaction strengthen Vietnam’s leadership in aquaculture while contributing to global food security and SDG 14 (sustainable use of marine resources).
The transaction has also strong social impact, directly improving farmer livelihoods and labour conditions. With the development of a modern breeding and processing facility, IDI’s associated farmers see an improvement in annual revenue per hectare of up to 14% as farm yields increase. Given that the average income in the Mekong Delta is around USD 3,000 per year, this initiative uplifts rural communities, fostering economic resilience. Additionally, the new processing plant’s automation and efficiency improvements will reduce labour-intensive tasks, optimising workforce conditions while lowering production costs—ensuring a more sustainable and competitive aquaculture industry.
This transaction strengthens corporate governance and ESG leadership in Vietnam’s aquaculture sector by integrating international best practices, such as IFC Performance Standards.
More information on this transaction is available here.
| For more information, please contact | ||
| Alison Hicks Senior Communications Manager +44 (0)7385 551967
| Cecilie Sorhus Chief of Staff/Head of Communications +44 (0)7917 302724
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| About PIDG | ||
| The Private Infrastructure Development Group (PIDG) is an innovative infrastructure project developer and investor which mobilises private investment in sustainable and inclusive infrastructure in sub-Saharan Africa and south and south-east Asia. PIDG investments promote socio-economic development within a just transition to net zero emissions, combat poverty and contribute to the Sustainable Development Goals (SDGs). PIDG delivers its ambition in line with its values of pioneering, partnership, safety, inclusivity and urgency. PIDG offers Technical Assistance for upstream, early-stage activities and concessional capital; its project development arm – which includes InfraCo – invests in early-stage project development and project and corporate equity. PIDG credit solutions include EAAIF (the Emerging Africa and Asia Infrastructure Fund), one of the first and more successful blended debt fund in low-income markets; GuarantCo, its guarantee arm that provides credit enhancement and local currency solutions to de-risk projects; and a growing portfolio of local credit enhancement facilities, which unlocks domestic institutional capital for infrastructure financing. Since 2002, PIDG has supported 233 infrastructure projects to financial close, which provided an estimated 228 million people with access to new or improved infrastructure. PIDG is funded by the governments of the United Kingdom, the Netherlands, Switzerland, Australia, Sweden, Global Affairs Canada and Germany. pidg.org | ||
| About GuarantCo | ||
| GuarantCo mobilises private sector local currency investment for infrastructure projects and supports the development of financial markets in lower income countries across Africa and Asia. GuarantCo is part of the Private Infrastructure Development Group (PIDG) and is funded by the governments of the United Kingdom, Switzerland, Australia and Sweden, through the PIDG Trust, the Netherlands, through FMO and the PIDG Trust, and Global Affairs Canada plus France through a stand-by facility. GuarantCo is rated AA- by Fitch and A1 by Moody’s. Since 2005, GuarantCo has enabled USD 6.2 billion of total investment and USD 5.2 billion of private sector investment, giving 45.2 million people improved access to infrastructure and creating around 229,000 jobs. GuarantCo’s activities are managed by GuarantCo Management Company which is part of Cardano Development www.guarantco.com | ||
