Market transformation
The successful issuance of this green bond seeks to further demonstrate the untapped market potential for green financing instruments to help address the significant investment and infrastructure financing gap in the country.
| Company | PIDG |
| Sector | Agri-infrastructure |
| Country | Viet Nam |
| Total Project Cost | USD 40 million |
| PIDG Commitment |
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| Dates of PIDG involvement |
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In the coming years, there is a projected 1.4 per cent growth in global fish consumption and increasing export demand, specifically for Vietnamese pangasius, from traditional and new markets.
Meeting robust international sustainability standards set by the Aquaculture Stewardship Council (ASC) and Best Aquaculture Practices (BAP) are crucial for Vietnamese fish export companies seeking to capitalise on this growing global demand for eco-friendly and responsibly sourced products.
Despite the large agriculture supporting infrastructure needs, there are limited green instruments available for investors in Viet Nam looking for bankable green assets that could finance the level of scale-up required.
PIDG, through GuarantCo, guaranteed green bonds to support the growth of IDI Sao Mai, a leading sustainable fish exporting company. The bond proceeds will enable the next stage of the company’s growth through the development of pangasius fish processing, as well as seeding and hatching facilities.
The successful issuance of this green bond seeks to further demonstrate the untapped market potential for green financing instruments to help address the significant investment and infrastructure financing gap in the country.
The growth will increase income generation by 14 per cent for 45 local farming households who are contracted to cultivate the fish.
In accordance with its green bond framework, IDI will commit to allocating capital raised from the green bonds to eligible green projects with the goal of promoting sustainable and environmentally friendly pangasius farming and production.
