The Vietnam Prosperity Joint-Stock Commercial Bank (VPBank; HoSE: VPB) has secured a $730 million offshore syndicated loan arranged by the International Financial Corporation (IFC) and the Sumitomo Mitsui Banking Corporation (SMBC), strengthening its long-term funding for growth.
With tenors of 3, 5, and 7 years, the loan will help VPBank strengthen its medium and long-term funding base to expand lending to small and medium-sized enterprises (SMEs), particularly women-owned and women-led SMEs and agricultural SMEs.
Together with leading global financial institutions, VPBank held a celebration ceremony for the loan attended by the Chairman of the Board of Directors, the Chief Executive Officer, senior executives, and representatives of participating financial institutions.
The $730 million facility has been disbursed in multiple drawdowns throughout 2026. The funding will enable VPBank to continue expanding comprehensive financial solutions to support SMEs working capital requirements, production capacity expansion, and business growth initiatives.
With its diversified maturity structure, the facility enhances both medium and long-term funding resources, increasing VPBank’s flexibility in capital management and strengthening its financial foundation for implementing its 2026-2030 five-year strategy, which aligns business growth objectives with financial inclusion and support for enterprise development.
The transaction, jointly coordinated and arranged by the IFC and SMBC as joint arrangers, brought together a broad range of major international financial institutions.
The group of development finance institutions (DFIs) includes the IFC, the German Investment Corporation (DEG), Proparco (the development finance institution of the French Development Agency - AFD), and Norfund (the Norwegian Investment Fund for Developing Countries). Export credit agencies participating in the facility include The Export-Import Bank of China (China Eximbank) and The Export-Import Bank of Korea (Korea Eximbank). International commercial banks and other financial institutions participating in the facility include SMBC, the Punjab National Bank, the Commercial Bank of Ceylon, the Industrial and Commercial Bank of China (ICBC), Shinhan Bank, Woori Bank, and KEXIM Asia Limited.
The participation of DFIs, export credit agencies, and international commercial banks from markets including the US, Germany, France, Norway, China, South Korea, Japan, India, and Sri Lanka demonstrates VPBank’s ability to attract international funding and broaden its global partner network. It also reflects international partners’ confidence in the bank’s financial strength and long-term growth prospects. The transaction is expected to deepen relationships with existing partners while expanding cooperation with new institutions, paving the way for future access to international funding sources.
“The $730 million facility further affirms the international financial community’s confidence in VPBank’s capabilities and development strategy,” Mr. Nguyen Duc Vinh, CEO of VPBank, told the ceremony. “This funding allows us to strengthen our support for SME customers, turning our commitment to growth and sustainable development into tangible outcomes while creating long-term value for shareholders, customers, and society.”
“The financing needs of Vietnamese SMEs are far greater than what any single institution can provide,” said Mr. Allen Forlemu, IFC Regional Director for Financial Institutions Group, Asia and the Pacific. “Our long-standing partnership with VPBank and confidence in the bank’s strategy and performance have enabled us to provide our first seven-year loan to a Vietnamese bank, helping strengthen VPBank’s funding structure and expand its lending to SMEs. By mobilizing private capital alongside our own investment, we can scale the resources available to businesses well beyond our own balance sheet, significantly expanding access to finance for companies that drive jobs and economic growth across Vietnam.”
“As VPBank’s strategic shareholder and long-standing partner, we are pleased to have worked alongside the IFC to bring development finance institutions, export credit agencies, and commercial banks together on a single platform,” said Ms. Reiko Mori, Executive Officer, Deputy Head of Asia Pacific Division, at SMBC. “This transaction demonstrates how partnership with purpose can mobilize capital at scale and advance financial inclusion across Asia.”
VPBank has continuously advanced its sustainable development strategy in recent years by integrating environmental, social, and governance (ESG) standards into its business operations, expanding green and social finance, and increasing access to high-quality international funding sources. Complementing this financing, the IFC will also support VPBank in strengthening its agri-finance capabilities and expanding financing for agricultural SMEs.
The $730 million facility follows a series of major international financing transactions completed by the bank during 2025-2026. In June, VPBank and 15 international financial institutions signed the bank’s first $1.44 billion Sustainability-Linked Loan (SLL). Earlier, in 2025, VPBank successfully raised a total of $2.36 billion, including a $1.56 billion international syndicated loan and a $300 million international sustainable bond issuance.
This growing pipeline of transactions, featuring increasingly diverse structures, maturities, and formats, further strengthens VPBank’s ability to access international capital markets. These resources support the bank’s long-term growth strategy, enhance its capacity to deliver financial solutions to customers, and reinforce its role in connecting international capital flows with the development needs of Vietnamese businesses and the broader economy.
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