SHIFT - Shifting Investment Flows Towards Green Transformation

State of implementation/results

• The project started with preparatory activities assessing high energy consuming sectors, subsectors, and available energy transition technologies. The results will inform the subsequent selection process of enterprises for implementation. Similarly, the consortium is currently screening potential private financial institutions in Viet Nam to assess capacities and readiness to expand green finance. Suitable financial institutions will receive guidance and training in the process of integrating green finance, risk management, and disclosure into business and product strategies, developing financing products aligned with Viet Nam’s climate targets.
• A joint analysis, conducted with the State Bank of Viet Nam (SBV), concluded with recommendations for financial policymakers to finalize the green taxonomy framework and to incentivize credit allocation towards renewable energy projects.
• SHIFT’s preliminary work on Emissions Trading System (ETS) continued, gaining further momentum through the approval of the national scheme for establishing and developing a carbon market in Viet Nam. The project supported the Ministry of Finance (MoF) through research and peer-learning around ETS platform trading operations, settlements and policy solutions. The project contributed with experiences from Europe, China, Korea and New Zealand.
• SHIFT also continued its network support for MoF. It intensified the exchange with the European Energy Exchange (EEX) and connected Vietnamese policymakers with the carbon market workstream under ASEAN’s Working Group on Climate Change to gain insights from regional peers.
• The project has been actively engaging with small and medium sized enterprises (SME), financiers, and local organizations to ensure the achievement of project outcomes. Moreover, building on previously identified synergies, SHIFT connected an international impact investor with a German cement producer to help mobilize additional finance for an expansion of technology-driven, energy efficiency solutions in the Vietnamese market.
• In support of the interest and the international ambition of the Banking Academy of Viet Nam (BAV), the institute was introduced to the Principles for Responsible Banking Academy (PRBA). The collaboration is expected to complement SHIFT’s sector-wide training activities and to improve academic standards, strengthen overall institutional capacity and generate additional income streams.
• In partnership with the IKI-funded Project ‘Transformative Climate Finance’, the Halle Institute for Economic Research and GIZ’s Energy Support Program in Viet Nam, the consortium facilitates an assessment of the macroeconomic impacts and investment needs of energy transition pathways, including financial instruments.

Latest Update:
04/2025