Vietcombank Khanh Hoa and Van Phong Electricity Co., Ltd. sign 140 million USD credit contract

On November 9, within the framework of the working visit of the delegation of Khanh Hoa province with the Vietnamese Embassy in Tokyo, Japan, Joint Stock Commercial Bank for Foreign Trade of Vietnam Khanh Hoa Branch (Vietcombank Khanh Hoa) and Van Phong Electricity Co., Ltd. carried out the signing ceremony of a short-term credit contract worth 140 million USD. Attending the signing ceremony were Nguyen Hai Ninh - Member of the Party Central Committee, Secretary of Khanh Hoa Provincial Party Committee; Pham Quang Hieu - Vietnamese Ambassador to Japan; Le Huu Hoang - Standing Vice Chairman of the Provincial People's Committee. Representatives of the two signing units are Luong Phan Sang - Director of Vietcombank Khanh Hoa; Fujioka Hiroyuki - General Director, Electrical Infrastructure Department No. 3, Sumitomo Corporation and Hirokazu Tsuru - General Director of Van Phong Electricity Co., Ltd.

Khanh Hoa province’s leaders witness signing ceremony of credit contract between Vietcombank Khanh Hoa and Van Phong Electricity Co., Ltd.

Van Phong Electricity Co. Ltd. is a subsidiary, with 100% capital of Sumitomo Group (Japan), representing the investor Sumitomo to develop and implement the Van Phong 1 Thermal Power Plant project in Khanh Hoa province. With a capacity of 1,320 MW and total investment capital of about 2.6 billion USD, Van Phong 1 Thermal Power Plant is the largest thermal power project in Vietnam, using advanced, modern technologies and paying attention to environmental standards. Unit 1 officially operated on October 3, 2023 and it is expected that the entire plant will officially operate in December 2023. The fact that Van Phong 1 Thermal Power Plant has been put into operation on schedule not only provides additional power sources for production and business activities in Khanh Hoa Province but also contributes to the province's budget.

Vietcombank has spent more than 60 years of construction and development, with strengths in foreign exchange activities, project financing and international payments. Vietcombank is one of the 30 strongest banks in the Asia-Pacific region and among top 300 largest financial and banking groups in the world; rated A by the State Bank (the highest level among banks in Vietnam). Vietcombank is also the only Vietnamese bank rated by three prestigious international credit rating organizations S&P, Moody's and Fitch, with a credit rating reaching the national credit rating ceiling and a positive outlook. Currently, Vietcombank is serving nearly 17,000 foreign-invested enterprises, including many large corporations with strict regulations and standards on serving banks... Vietcombank Khanh Hoa Branch is a unit reputable, operating effectively, continuously leading the system in growth rate, service quality, operational efficiency, making many contributions to social security and the general development of Khanh Hoa province.

Provincial leaders present flowers to congratulate Vietcombank Khanh Hoa and Van Phong Electricity Co., Ltd. on successful signing.

Speaking at the signing ceremony, Mr. Nguyen Hai Ninh affirmed that Japan is the largest foreign investor and a very important partner for the development of Khanh Hoa province. Among the total 111 FDI projects in the province, there are 6 Japanese FDI projects with a total registered investment capital of up to 2.652 billion USD, accounting for nearly 70% of the total FDI capital of the province. The signing of a short-term credit credit contract worth 140 million USD of Vietcombank Khanh Hoa for the official operation of Van Phong 1 Thermal Power Plant (key FDI project of the province) affirms the desire and determination Khanh Hoa province's focus in attracting investment and promoting economic cooperation with Japanese investors and businesses.

This signing ceremony not only has the significance of initiating and enhancing the good cooperative relationship between one of Japan's leading multi-industry corporations and one of Vietnam's leading banks, but also opens up new cooperation opportunities between Vietnamese and Japanese businesses, as well as contributing to further tightening the friendship between Vietnam and Japan that has been built and developed over the past 50 years. Khanh Hoa Province is committed to strongly reforming administrative procedures, improving the investment and business environment and continuing to improve the provincial competitiveness index, in order to support and create the best conditions for Japanese investors and businesses to implement projects and develop sustainably in the future.

Hoang Dung
Translated by T.T