The International Finance Corporation (IFC), the private sector branch of the World Bank, has entered a cooperation agreement to implement an eco-industrial park (EIP) assessment program in Vietnam, developed in collaboration with local developer Becamex and the Singapore-based industrial land developer VSIP. This partnership was established on July 16 in Ho Chi Minh City, a key economic zone in Vietnam that, along with Binh Duong and Ba Ria-Vung Tau provinces, generates a quarter of the country’s GDP.
The initiative aims to create eco-industrial park models that meet global standards and provide a framework for accessing green financing for sustainable industrial growth. VSIP, a joint venture between Becamex and Singapore’s Sembcorp Industries, focuses on industrial and urban solutions while prioritizing renewable energy.
Through the Global Eco-Industrial Park Assessment and Certification program, the IFC will assist Becamex in diagnosing up to five industrial parks based on the IFC’s EIP certification framework. This assessment will spotlight strengths, gaps, and improvement opportunities across key environmental, social, and governance (ESG) criteria, including park management and environmental performance.
Diep Nguyen van-Houtte, IFC’s Global Senior Manager for Climate Business, emphasized the importance of adopting the EIP model for Vietnam’s sustainable growth amidst its enhanced position in global supply chains. This strategic initiative aims to improve the nation’s green competitiveness, cut greenhouse gas emissions, attract high-quality investments, and create better job opportunities.
Becamex CEO Nguyen Hoan Vu echoed this sentiment, pointing out that partnering with the IFC will bolster the ESG capabilities of their ecosystem and facilitate access to green finance for inclusive growth.
This collaboration is an extension of the ongoing efforts between Becamex and the World Bank Group since 2022, which have included feasibility studies for developing EIPs in the region. Notably, Binh Duong is home to the Lego Group’s $1.3 billion eco-friendly factory, which plans to operate on 100% renewable energy by 2026, utilizing solar power and a large-scale battery storage system.
The IFC-Becamex-VSIP partnership also aims to foster collaboration on green industrial transformation, supporting Vietnam’s ambition to achieve net-zero emissions by 2050, thus paving the way for a more sustainable future in industrial development.