FiinRatings issued Second Party Opinion Report for IDI’s 1 Trillion VND Green Bond Issuance in alignment with ICMA’s Green Bond Principle

FiinRatings has officially released an external review report of the Green Bond Framework for I.D.I International Development & Investment Corporation ("IDI"), a subsidiary of the Sao Mai Group ("ASM"). This the pre-issuance external review for the 1 trillion VND (approximately USD 40 million) green bond transaction which has just been successfully concluded on 26 October 2024. The bond has been issued with a full and irrevocable guarantee by GuarantCo, a member of the Private Infrastructure Development Group (PIDG).

Hanoi, 7 October 2024 

FiinRatings has officially released an external review report of the Green Bond Framework for I.D.I International Development & Investment Corporation ("IDI"), a subsidiary of the Sao Mai Group ("ASM"). This the pre-issuance external review for the 1 trillion VND (approximately USD 40 million) green bond transaction which has just been successfully concluded on 26 October 2024. The bond has been issued with a full and irrevocable guarantee by GuarantCo, a member of the Private Infrastructure Development Group (PIDG). 

The assessment confirms that IDI's Green Bond Framework is aligned with the Green Bond Principles of the International Capital Market Association (“ICMA”). The bond issuance aims to finance projects promoting sustainable, environmentally-friendly pangasius farming and processing factory expansion. 

Mr. Nguyen Quang Thuan, CEO of FiinRatings remarked, "We highly appreciate efforts by IDI to establish a comprehensive green bond framework that meets international standards. As Vietnam's leading provider of credit ratings and green bond verification, we are proud to contribute to this significant milestone. This reinforces our commitment to promoting sustainable finance practices in Vietnam, contributing to the growth of both the corporate bond market and the broader capital market." 

IDI’s issuance marks the first local currency green bond issued by a non-financial issuer in Vietnam and the first green bond in Asia issued by a seafood enterprise. IDI’s Green Bond Framework was developed with support from the Global Green Growth Institute (GGGI) and externally reviewed by FiinRatings. 

Most recently, FiinRatings was selected by the Bank for Investment and Development of Vietnam (“BIDV”) and The World Bank to perform a post-issuance review on the allocation and use of funds from a 2.5 trillion VND (approximately USD 100 million) green bond issued by in 2023 in alignment with the ICMA’s Green Bond Principles. FiinRatings also conducted a pre-issuance verification of the green bond framework for Gia Lai Electricity Joint Stock Company (“GEG”) under the Climate Bonds Initiative’s Taxonomy. 

Green bonds in Vietnam have been issued in the voluntary basis by issuers with investor-pull demand in their investment mandates. We expect the Vietnam’s green bond market will record a significant growth in both issuance volume and value in coming time especially when the local taxonomy regulation is issued by Vietnamese Government in a foreseeable time.  

For more information, please refer to the documents below: 

IDI’s Green Bond Framework HERE. 

FiinRatings' Assessment Report HERE. 

Press Release from IDI, GuarantCo, and other transaction participants HERE. 

About FiinRatings: 

FiinRatings Joint Stock Company, a technical collaboration partner of S&P Global Ratings, is a licensed credit rating agency in Vietnam. We offer a range of services, including credit ratings, green bond verification, and Second Party Opinion (SPO) assessments, catering to issuers, creditors, and investors across industries. Our SPO provides an independent evaluation of whether the documentation for a sustainable finance instrument, framework, or transaction aligns with established third-party principles, such as those set forth by the International Capital Market Association (ICMA) and the Climate Bonds Initiative (CBI). Notably, FiinRatings is the first agency in Vietnam to be approved as a verifier under the CBI’s green bond taxonomy. For further information, please visit: https://www.fiinratings.vn 

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