Swedfund has announced a new investment in Vietnamese financial institution EVF General Finance JSC (EVF), committing a loan facility of up to USD 20 million. The funding is aimed at improving access to finance for Micro-, Small- and Medium Enterprises (MSMEs), with a significant share directed towards climate-related projects and women owned businesses.
Vietnam continues to rank among Southeast Asia’s fastest growing economies, a trend that has driven rising demand for energy alongside increased greenhouse gas emissions. Despite this growth, long-term financing options remain limited, particularly for MSMEs, which form a critical part of the country’s economic base. Many of these businesses face challenges in securing capital needed for expansion and long-term investment.
Through the loan, Swedfund will provide EVF with additional long-term funding, enabling the company to increase its lending to MSMEs that are currently underfinanced. Part of the financing will also support investments linked to climate mitigation, including renewable energy initiatives, aligning the transaction with broader sustainability objectives.
“With this investment, we particularly aim to boost climate action and women’s participation in the economy. Of the loan, 40 percent will go to climate projects, like renewable energy and climate mitigation, and 30 percent will go to women owned enterprises. In this way we can both create decent jobs while contributing to a more sustainable and equal economy,” says Jane Niedra, Director of Financial Inclusion at Swedfund.
According to Swedfund, the structure of the loan reflects a dual focus on economic development and environmental responsibility. By channeling capital towards climate-focused projects, the investment seeks to address Vietnam’s growing emissions challenge, while the allocation to women owned enterprises is intended to improve participation and representation within the business landscape.
The loan to EVF forms part of a broader USD 40 million financing package, which has been arranged jointly by OeEB and Swedfund. The package is designed to strengthen EVF’s capacity to support MSMEs across Vietnam, particularly those that have limited access to traditional banking services.
Swedfund stated that the investment aligns with its wider mandate to promote sustainable private sector development in emerging markets, using targeted financial instruments to support inclusive economic growth.
About EVF
EVF General Finance Joint Stock Company, based in Hanoi, Vietnam, was founded in 2008 and is one of Vietnam’s leading non-banking financial institutions. Under its general financial license, EVF Finance offers a comprehensive range of financial services, including the granting of credit lines to micro, small, and medium-sized enterprises (MSMEs).
