France-based Agence Française de Développement (AFD) has announced a $550 million commitment to bolster Vietnam’s clean energy transition and sustainable development goals. The new funding aims to accelerate renewable energy deployment, strengthen low-emission transport systems, and advance Vietnam’s green transformation under the Just Energy Transition Partnership (JETP) framework.
More than half of the pledged funds have already been mobilized through AFD-led initiatives focused on renewable energy, infrastructure modernization, and climate adaptation.
Driving Vietnam’s Green Transformation
AFD’s renewed financial commitment builds upon its 30-year presence in Vietnam, during which it has financed nearly 120 projects valued at over $3.3 billion. These projects have supported clean energy adoption, sustainable infrastructure, and enhanced climate resilience across sectors critical to Vietnam’s low-carbon growth.
In its next strategic phase, AFD plans to concentrate on three major pillars:
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Sustainable Energy Development – Supporting Vietnam’s transition to renewable power sources such as solar, wind, and hydro to reduce dependence on fossil fuels.
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Low-Emission Transport – Promoting green mobility solutions, electric transport infrastructure, and improved public transit systems to cut transport-related emissions.
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Climate Change Adaptation – Building resilience through investments in climate-smart agriculture, water management, and disaster mitigation.
These focus areas align with Vietnam’s national roadmap to achieve net-zero emissions by 2050 and evolve into a high-income, climate-resilient economy by 2045–2050.
Strengthening Bilateral Ties for a Sustainable Future
The announcement comes shortly after the elevation of Vietnam–France relations to a Comprehensive Strategic Partnership, underscoring both nations’ shared commitment to combating climate change and fostering sustainable growth.
AFD’s expanded role underlines France’s long-standing support for Vietnam’s green agenda and reflects growing international collaboration around JETP—a global initiative designed to finance and accelerate just, equitable energy transitions in developing economies.
