Standard Chartered Bank Vietnam has committed to reaching net-zero carbon emissions from its operations by 2030 and then from its financing by 2050. What measures are being implemented to achieve this commitment?

We are proud to drive the sustainability agenda and lead the way in sustainable development for our clients, authorities, and the broader economy. Standard Chartered is a fervent supporter of the Vietnamese Government’s ambitions, and looks to build upon successes from COP26. Specifically, with regard to endeavors for a sustainable green future, Standard Chartered signed three MoUs with three Vietnamese businesses on sustainable financing of up to $8.5 billion, to support their sustainability goals. Together with all-encompassing stakeholder groups, from the government to the private sector, the bank has been executing different verticals of work under the Just Energy Transition Partnership (JETP) to deliver on collective ambitions to reach net-zero emissions by 2050.

With increasing focus on helping clients to decarbonize and transition, Standard Chartered expanded its sustainable finance asset book to over $13 billion in 2022, representing 30 per cent growth year-on-year. Per the bank’s Sustainable Finance Impact Report last year, Vietnam has recorded over $50 million in renewable energy exposures and another $50 million in business banking loans supporting access to finance.

We have a strong team locally to offer transition and adaptation financing as well as to introduce our product suite to clients in Vietnam. We stand ready to have these conversations and work with our clients to fulfil their own net-zero ambitions.

At COP28 this year, we are a proud partner of the Vietnamese Government. Standard Chartered Bank will co-host an exclusive session for our clients and participate in relevant sessions that see the investor community engage with senior leaders from the Vietnamese delegation. There is significant interest in the Just Energy Transition Resource Mobilization Plan, and this will be a much anticipated event in Dubai.

Standard Chartered Bank Vietnam announced in September a significant milestone in its commitment to the country, marked by a substantial $60 million capital injection that underscores its unwavering dedication to Vietnam and its long-term strategy of bolstering onshore business operations through FDI. What are your specific plans and strategy in this regard?

We have built a strong business in Vietnam and aspire to take it to even greater heights. Standard Chartered Vietnam is fully committed to supporting the country’s economic development and prosperity in the years to come.

We have been investing significantly in Vietnam over the last few years and growing our business around the country. In late 2021, Standard Chartered injected an additional $120 million of Tier 1 capital into its Vietnam franchise. In 2022, we opened our new head office in Hanoi, strengthening our strong, long-term commitment to and investment in Vietnam.

The investment in more resources and infrastructure in the local franchise aims to better serve its clients and deliver solutions that enable customer choice and access to the best and most innovative solutions to both the private and public sectors. As one of the first foreign banks to establish a presence in Vietnam, in 1904, Standard Chartered will celebrate 120 years of operations here next year, affirming our long-term investment in and commitment to the country. This is a significant milestone that we are proud of.

The iconic Standard Chartered Marathon will arrive in Vietnam for the first time shortly, with the bank announcing its sponsorship of the Hanoi Marathon Heritage Race, starting from 2024. Can you tell us why Standard Chartered decided to sponsor the race?

We are very proud to be the title sponsor of the first edition of the iconic Standard Chartered Hanoi Marathon Heritage Race, an event that celebrates the richness of culture and heritage that resonates with Standard Chartered as one of the oldest international banks in Vietnam. Leveraging the expertise from our Standard Chartered Marathon franchise, we aim to bring the best of traditions and modern race technology to elevate the experience for all. The Standard Chartered Hanoi Marathon Heritage Race will be a race for everyone, bringing people from all walks of life together to stay active and lead a healthy lifestyle while binding our community through the shared values of resilience and determination.

Vietnam is a key market in our global footprint. We continue to invest more in the country to better serve our clients, colleagues, and the community. Being a title sponsor of a prestigious marque event here reinforces our commitment. We are here for the long run. We are here for good.

What are the bank’s plans to promote sustainable development and the application of ESG in businesses?

Accessing finance from international credit institutions for green finance must follow strict and comprehensive evaluations and approval criteria. This is primarily Environmental and Social Risk Assessment (ESRA) due diligence and alignment with the Green and Sustainable Finance Product Framework. At Standard Chartered, we work with clients to be able to structure the business or future products to be “greenable” in referencing these frameworks. This is part of our strong commitment to meeting clients’ rising sustainability aspirations with innovative sustainable finance solutions. We are dedicated to contributing to the sustainable development of Vietnam and continue working closely with our clients and stakeholders to provide finance to where it matters most.

Additionally, activities are supported where the use of proceeds is aimed at enabling access to finance, for example micro-financing for vulnerable populations or large projects such as constructing and/or operating hospitals, clinics, and healthcare centers and educational institutions. The framework excludes businesses involved in activities that negatively impact human rights, such as forced labor, child labor, or conflict minerals.

For clients who fall short of the expected standards or demonstrate limited understanding of environmental and social risks, we provide support through a team of E&S specialists. If the client is willing to commit to change, we can help define improvement targets and ultimately access to green finance.

How do you view Standard Chartered Bank Vietnam’s business operations so far in 2023?

Our commitment to excellence is exemplified through securing a series of prestigious awards. We have been named “Best Foreign Bank in Vietnam” for three consecutive years and “Best Digital Bank in Vietnam” for the second year by Global Business Review. Being named “Best Retail Bank” by Retail Banker International and “Best Foreign SME Bank in Vietnam” by Global Business Outlook in 2023 continued to strengthen our capabilities in serving the evolving needs of clients with cutting-edge technology, digitalization, and innovation in the provision of banking services.

Our Corporate, Commercial and Institutional Banking (CCIB) business continues to support local companies to drive commerce and prosperity and expand internationally. The recognition from The Asset for excellence in Fund administration and Custody services, and Consistent Excellence in 2023 in the Global Custodian Agent Bank Survey for Vietnam reflects the bank’s dedication to delivering the best banking solutions and services to clients and our commitment to excellence in the industry.

Additionally, we strive to build a diverse and inclusive working environment where everyone feels proud of working for Standard Chartered and comfortable in bringing their true selves to work, excelling to their full potential and ultimately providing the best products and services to our clients. Standard Chartered Vietnam has been certified as a Great Place to Work by Great Place to Work® - the global authority on workplace culture - and has achieved prestigious certification in equity, diversity, and gender equality (EDGE) with the highest LEAD level across all industries, reinforcing our dedication to driving gender equality and equal opportunity and fostering an inclusive workplace culture in Vietnam.

Overall, I would say that while we have posted good results, we will continue to strive to be better, as this is important for our clients, partners, alliances, and the community we serve.