Banking with green growth: International experience- orientation for BIDV and suggestions for Vietnamese commercial banks in the future

Abstract

In the context of climate change and environmental pollution becoming increasingly serious due
to human economic activities, green growth has recently become a topic that has received a lot of attention
from both policymakers and scientists. In recent years, the Government has proactively introduced many
policies and legal documents aimed at applying climate change according to commitments in the 2021
United Nations Framework Convention on Climate Change (COP26) on reducing net emissions to zero by
2050, reducing greenhouse gas emissions by 30% by 2030. In particular, the banking sector is considered
to have an extremely important role in promoting green growth, towards a sustainable and environmentally
friendly economy. This paper presents the theoretical basis of green growth and the role of the banking
system in green growth as well as highlights international experiences from Germany and China on green
growth in the banking sector. On that basis, this paper proposes some orientations for the Joint Stock
Commercial Bank for Investment and Development of Vietnam (BIDV) in particular and commercial banks in
Vietnam in general to contribute to promoting green growth and sustainable finance in Vietnam.