In order to mobilize resources for capital development programs and projects. In the context of increasing demand for infrastructure investment, Agribank's participation contributes to promoting medium and long-term capital channels, while creating more room to develop sustainable financial instruments, including green bonds and urban bonds.
On the afternoon of June 24, within the framework of the Conference announcing the Master Plan of Hanoi Capital with a 100-year vision and investment promotion in 2026, the Hanoi Department of Finance signed a Memorandum of Understanding on cooperation with Agribank and four commercial banks on coordinating the implementation of issuing local government bonds.
The signing ceremony was attended by Mr. Nguyen Xuan Luu, Member of the Standing Committee of the City Party Committee, Vice Chairman of Hanoi City People's Committee; representatives of the Department of Finance and leaders of credit institutions. On Agribank's side, there was Mr. Doan Ngoc Luu - Deputy General Director.
The memorandum of understanding creates a basis for the parties to coordinate in researching market needs, developing capital mobilization plans and developing appropriate financial instruments, supplementing resources for socio-economic development programs and projects of Hanoi. In addition to local government bonds, the parties also plan to study bond types associated with green growth and sustainable development goals.
Resource problem for strategic projects of the Capital
The signing takes place in the context that Hanoi is promoting the realization of long-term development orientations, with a large investment demand for transportation, urban railways, environmental infrastructure, digital transformation and new growth driving projects.
Increased investment demand requires expanding financial resources outside of traditional budget channels. Many large-scale infrastructure projects have long implementation and capital recovery times, making the need for stable and long-term capital sources urgent. This poses the requirement to develop appropriate capital mobilization channels, while diversifying resources to reduce pressure on the budget and short-term credit system.
Local government bonds are considered one of the tools to support the city in diversifying investment capital sources. Through this channel, localities can be more proactive in balancing resources, reducing dependence on short-term capital mobilization forms and attracting investors to participate in projects that have spillover effects on the economy.
Along with traditional forms of capital mobilization, green bonds and sustainable financial products are receiving increasing attention. Capital from these tools can be oriented for public transport projects, waste treatment, environmental improvement, efficient energy use and urban development adapted to climate change.
Agribank contributes more resources to the development of the Capital
As a state-owned commercial bank playing a key role in investing in agricultural and rural development and many important sectors of the economy, Agribank has a lot of experience accompanying socio-economic development programs in localities across the country.
The participation in signing with the Hanoi Department of Finance continues to expand Agribank's role from providing credit capital to connecting financial resources to serve investment and development. Based on the memorandum of understanding, Agribank and the parties will coordinate to study the market, capital needs and options for issuing local government bonds in accordance with the city's development orientation.
With a wide network, diverse customer base and experience participating in many large programs, Agribank can contribute a practical perspective in the process of assessing market absorption capacity, choosing terms and building effective capital mobilization plans.
Agribank's participation is also in line with the orientation of promoting green finance and sustainable development that the bank is implementing. The research of financial instruments associated with sustainable development goals contributes to creating a bridge between Agribank's green finance orientation and Hanoi's infrastructure investment needs, while opening up a new coordination mechanism in mobilizing resources for the development of the Capital.
By the end of 2025, Agribank leads the banking system in the number of customers granted green credit, with nearly 39,000 customers and a total outstanding balance of nearly 28,000 billion VND. Capital mainly focuses on renewable energy and clean energy, sustainable forestry, green agriculture - areas of practical significance for the growth model transformation process.
In 2026, Agribank continues to concretize its commitment to "green" capital flows through a 3,000 billion VND scale green credit program for individual customers; and at the same time promote the integration of environmental, social and governance factors - ESG - into business operations.
