VPBank Task Force on Climate-related Financial Disclosures 2024

The global climate landscape is undergoing a profound transformation, with the Net Zero emissions target increasingly positioned as a central strategic pillar for sustainable economic growth. As one of the countries most vulnerable to the impacts of climate change, Vietnam is underscoring its strong commitment by accelerating the implementation of key national policies in 2024, with a particular focus on advancing Power Development Plan VIII and the National Green Growth Strategy. In this transition, the banking sector plays a pivotal role in directing capital toward sustainable industries, thereby laying a solid financial foundation to enhance resilience and adaptive capacity to climate change.

In anticipation of the evolving global disclosure landscape, as the TCFD framework gradually transitions its historic role to the more rigorous international standards set by the International Sustainability Standards Board (IFRS S1 and IFRS S2), VPBank approaches this shift with a spirit of proactivity and openness. The publication of the 2024 TCFD Report reflects the Bank’s steadfast commitment to building a comprehensive climate risk management framework that meets the rising expectations for transparency and disclosure quality from regulators, investors, and other stakeholders. VPBank continues to make deliberate investments in quantitative modeling and strengthen its methodologies, enhancing its ability to anticipate climate impacts on its portfolio and turning emerging challenges into drivers of sustainable growth.

In 2024, The Bank has built and steadily refined a robust quantitative framework to assess the direct financial impacts of physical risks, with a focus on extreme climate events such as tropical storms, thereby strengthening the foundation for governance and investment decisions. In parallel, VPBank has proactively incorporated transition scenarios developed by the Network for Greening the Financial System (NGFS) into climate scenario analysis, enabling a more comprehensive view of credit risk in the context of the energy transition. At the same time, VPBank continues to raise the bar for transparency by disclosing greenhouse gas (GHG) emissions data for the 2020–2024 period and refining its methodology for calculating emission reductions, further reinforcing the credibility and comparability of its disclosures.

Building on advanced analytical and forecasting capabilities, VPBank is committed to pioneering innovative green financial solutions that enable businesses to transition toward circular economic models, optimize energy efficiency, and reduce their carbon footprint. The Bank reaffirms its commitment to partnering with the Government, international organizations, and the business community in advancing a sustainable economy that fosters long-term growth and safeguards national energy security.

 

Click HERE to see detailed report.