Southeast Asia Information Port (www.dnyxxg.com) – Recently, under the framework of the "Promoting Green Investment and Credit for Sustainable Development in Agricultural Enterprises" (AGREEN Project), the Institute for Sustainable Development Management under the Vietnam Federation of Science and Technology Associations and the Oxfam Vietnam Office jointly held a report launch conference in Hanoi, officially releasing the report "Towards Sustainable Agriculture: Environmental, Social, and Governance (ESG) Framework Practices and Sustainable Financing Channels for SMEs in the Value Chain," and simultaneously launching supporting policy recommendations.
In his opening remarks, Nguyen Phuong Linh, Director of the Institute for Sustainable Development Management, pointed out that most agricultural enterprises in Vietnam have initiated ESG-related practices, but the core challenge is not a lack of awareness, but rather insufficient implementation capacity and how to transform scattered practices into systematic and efficient transformation results. He specifically mentioned an industry paradox: companies with outstanding ESG performance may not necessarily receive matching support resources, especially preferential access to sustainable financing channels.
Addressing the pain points in the implementation of ESG (Environmental, Social, and Governance) and its connection with sustainable finance in the agricultural sector, the research team clarified in its policy recommendations: Local management departments should take the lead in building regional value chain linkage models integrated into the ESG framework, focusing on participating in the certification and promotion of raw material production areas and the supervision of contract performance; banking institutions need to develop targeted green credit products, taking into account the inclusive finance needs of the agricultural sector and lowering the financing threshold for small and medium-sized enterprises (SMEs); large leading enterprises should establish stable cooperative relationships with SMEs through long-term and transparent cooperation commitments, improve communication and responsibility-sharing mechanisms, and drive the overall improvement of ESG levels across the entire chain.
During the press conference, a multi-party symposium entitled "Helping Agricultural Enterprises Obtain Green Finance through ESG Practices" was also held. Participants and representatives engaged in in-depth discussions on the core bottlenecks in the development of agricultural green finance, focusing on key issues such as the gap between policy and practice, financing limitations for cooperatives and micro-enterprises, pathways to strengthen value chain linkages, and the construction of responsibility-sharing mechanisms in ESG practice, exchanging practical opinions. (End)
