| Investee Company | Hoa Binh – Xuan Mai Clean Water Limited Liability Company Xuan Mai – Hanoi Clean Water Transmission Limited Company |
| Sector | Manufacturing |
| Country | Vietnam |
| Total Project Cost | VND 875.2 |
| PIDG Commitment |
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| Dates of PIDG involvement |
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Hoa Binh- Xuan Mai has committed to allocating capital raised from the green bonds to green water treatment capital expenditure. The project comprises water intake, treatment, pipeline and distribution components with a total capacity of 150,000 cubic metre per day.
The project represents a key step in the Vietnamese government’s efforts to transition away from groundwater sources, which can be environmentally harmful. By using river water as feedstock, Hoa Binh – Xuan Mai is not only embracing a more sustainable environmental approach but also ensuring a higher quality of water, which will positively impact public health and well-being.
PIDG (through GuarantCo) has provided a guarantee to Hoa Binh-Xuan Mai for the issue of 20-year green bonds to fund the development of a greenfield water supply project in Hoa Binh province to supply clean water primarily to the Hanoi region.
Vietnam’s first-ever verified green project bond in the water sector, the longest-tenor project bond issuance in the country to date, and the first project bond in Vietnam to receive an external credit rating from a local ratings agency.
This project promotes sustainable and environmentally friendly clean water treatment from surface water sources, to benefit public health standards in the region.
