Agribank’s Efforts in Boosting Hi-tech Agriculture in Vietnam

April 2023

The Vietnam Bank for Agriculture and Rural Development (Agribank) is taking an active part in providing capital, consultations, and other support to local farmers, aiming at contributing to the creation of a clean and high-value agricultural sector.

From November 2016, when the Prime Minister launched a program to strengthen loans for high-tech agriculture, to November 2022, Agribank provided USD 1.27 billion, with an outstanding loan totaling more than USD 212.02 million for nearly 4,000 customers, including nearly 100 corporate and 3,900 individual customers. Customers who borrow money through Agribank’s high-tech and clean agriculture development program also receive free money transfers within the bank’s system, as well as a 50% decrease in Agribank’s current cost for money transfers outside the bank’s system.

Moreover, Agribank provides loans for finished product and the development of value chains for agricultural and commodity production related to the development of OCOP (One Commune-One Product) products, one of the most essential requirements for Vietnamese farm produce. The bank also emphasizes the use of Environmental, Social, and Governance (ESG) principles during its operations, improving consumers’ perceptions of the quality and safety of Vietnamese agricultural products.

The bank has also developed vegetable, flower, and fruit production models in Lam Dong, a vegetable and fruit processing project in Ninh Binh, as well as animal feed production, pig and chicken breeding projects in Binh Phuong and Thanh Hoa, and passion fruit and vegetable production projects in Dak Nong and Kon Tum. The efforts have brought considerable returns to the bank, reaffirming Agribank’s role in high-tech agriculture investment and development.

(Source: VietnamPlus)

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