GREEN BONDS: WORLD’S EXPERIENCES, CURRENT STATUS AND PROPOSAL FOR IMPROVING VIETNAMESE LAW
Keywords:
Green bonds, Climate Changes, Vietnam, Law.
Abstract
Vietnam is a developing country, often adversely affected by environmental pollution and climate change. One of the main reasons leading to this situation is outdated production technologies, which is not environmentally friendly. This situation has been causing serious impacts on the economy and society of this country. According to the experience of developed countries and to fulfill national commitments on the environment, investment projects in production and business are encouraged to be implemented in an environmentally friendly manner. To do this, investors, especially businesses, need to mobilize a certain financial source to equip facilities and production technologies that cause less pollution. Among financial instruments, green bonds are an emerging factor applied by many countries around the world and Vietnam is also ready to test it. However, up to now, the issuance of green bonds in Vietnam has not been possible because of the lack of a complete legal mechanism. So, this article will analyze Vietnamese law on this issue on the basis of learning experiences from other countries to come up with a complete solution for Vietnam.
References
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Mariz, Pauline Dyschryver and Frederic de. (2020). What Future for the Green Bond Market? How Can Policymakers, Companies, and Investors Unlock the Potential of the Green Bond Market? Retrieved from Journal of Risk and Financial Management: https://www.mdpi.com/1911-8074
Minh Chau, Dang Dong, Ngoc Phat, Le Nam. (2020). Green bonds: Advantages and disadvantages for development in Vietnam's stock market. Retrieved from Tap chi Thi Truong - Tien te: https://thitruongtaichinhtiente.vn/trai-phieu-xanh-thuan-loi-va-kho-khan-de-phat-trien-o-thi-truong-chung-kho
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Oliver, S. K. (2014). Growing a Green Bonds Market in China: Reducing costs and increasing capacity for green investment while promoting greater transparency and stability in financial markets. Retrieved from ISSD: https://www.iisd.org/system/files/publications
P.V. (2018). Green government bonds – new capital attraction channel. Retrieved from Tap chi Tai chinh: https://tapchitaichinh.vn/kinh-te-vi-mo/trai-phieu-chinh-phu-xanh-kenh-hut-von-moi-141373.html
Phong, T. (2021). China is the world's 'champion' of greenhouse gas emissions. Retrieved from thanhnien.vn: https://thanhnien.vn/trung-quoc-xa-khi-thai-nha-kinh-vo-dich-the-gioi-post1064908.html
Serena Fatica & Robert Panzica . (2021). Green bonds as a tool against climate change? Retrieved from https://doi.org/10.1002/bse.2771
SNRD, A. (2012). Strategic mainstreaming of ecosystem-based adaptation in Vietnam. Retrieved from SNRD ASIA/PACIFIC: https://snrd-asia.org/strategic-mainstreaming-of-ecosystem-based-adaptation-in-vietnam-eba/
Tan, D. T. (2019). Potential for development of green bonds in Vietnam. Retrieved from Tap chi Cong thuong: https://tapchicongthuong.vn/bai-viet/tiem-nang-phat-trien-trai-phieu-xanh-o-viet-nam-67206.htm
Trang, Q. T. (2020). Vietnam in an effort to keep pace with the global green era. Retrieved from Tap chi Ngan Hang: http://tapchinganhang.gov.vn/trai-phieu-xanh-viet-nam-trong-no-luc-bat-nhip-voi-ky-nguyen-tai-chinh-xanh-toan-cau.htm
UNU, U. N.-W. (2013). The cost of climate change in Vietnam. Retrieved from United Nation University: https://www.wider.unu.edu/publication/cost-climate-change-vietnam
Wang, E. K. (2018). Financing green: reforming green bond regulation in the United States. Brooklyn Journal of CorporateFinance and Commercial Law, 12(2), 468-491.
WorldBank. (2018). World Bank Marks 10-Year Green Bond Anniversary with Landmark Issuance US$1.3 Billion Issuances Bring World Bank Green Bond Program to US$12.6 Billion. Retrieved from World Bank: https://www.worldbank.org/en/news/press-release/2018/11/13/world-bank-marks-10-year-
Bahceli, Y. (2021). EU launches first green bond with record size and demand. Retrieved from Reuters: https://www.reuters.com/business/sustainable-business/eu-starts-sale-debut-green-bond-ifr-2021-10-12/
CFI, F. I. (2021). What is Greenwashing? Retrieved from https://corporatefinanceinstitute.com/resources/knowledge/other/greenwashing/
Chau, N. T. ( 2018). China's experience in developing green bonds for Vietnam. Retrieved from https://gec.edu.vn/tong-hop/kinh-nghiem-phat-trien-trai-phieu-xanh-cua-trung-quoc-cho-viet-nam.html
Chiang, J. (2017). Growing the U.S. Green bond market: Volume 1: The barriers and challenged 11. Retrieved from http://www.treasurer.ca.gov/green bonds/publications/reports/green_bond_market_01.pdf
ClimateBonds. (2021). China totalled USD44bn in lablled green bonds during 2020: Second largest country for green issuance. Retrieved from ClimateBonds: https://www.climatebonds.net/2021/09/china-totalled-usd44bn-labelled-green-bonds-during-2020-second-largest-country-green)
Dung, V. (2021). Bringing green bonds to the market soon in 2021. Retrieved from Tap chi Tai chinh: https://tapchitaichinh.vn/kinh-te-vi-mo/som-dua-trai-phieu-xanh-vao-thi-truong-trong-nam-2021-333149.html
Dung, V. (2021). EU "dominates" the green bond market. Retrieved from https://congthuong.vn/eu-thong-tri-thi-truong-trai-phieu-xanh-164478.html
Dung, V. (2021). Global green bond market to reach record $1 trillion by the end of 2022. Retrieved from congthuong.vn: https://congthuong.vn/thi-truong-trai-phieu-xanh-toan-cau-tien-den-moc-ky-luc-1-nghin-ty-usd-vao-cuoi-nam-2022-166641.html
Eck, V. (2017). How Investors Can Evaluate the Impact of a Green Bond. Retrieved from MKT. REALIST: http://marketrealist.com/2017/05/u-s-corporate-green-bonds-faring
GBSVietnam. (2021). Experience in building a green financial system in Singapore. Retrieved from https://congtrinhxanhvn.com/kinh-nghiem-xay-dung-he-thong-tai-chinh-xanh-tai-singapore.html
GGGI. (2018). Potential of green bonds in Vietnam. Retrieved from Global Green Growth Institue: https://www.greenfinanceplatform.org/sites/default/files/downloads/resource/GGGI-Viet-Nam-Green-Bond-Market-Survey-Final-200925.pdf
Hong, N. T. (2017). China's green financial system development strategy. Retrieved from ncif.gov.vn: http://ncif.gov.vn/Pages/NewsDetail.aspx?newid=19481
Huang, A. (2021). China’s $113 Billion Green Bonds Caught in Jumble of Rules. Retrieved from reuters.com: https://www.reuters.com/article/us-china-bond-green-idUSKBN2BO4FP
ICMA. (2021). What are the Green Bond Principles. Retrieved from ICMA: https://www.icmagroup.org/assets/documents/Sustainable-finance/2021-updates/Green-Bond-Principles-June-2021-140621.pdf
Lehmann, A. (2021). The EU green bond standard: sensible implementation could define a new asset class. Retrieved from Bruegel: https://www.bruegel.org/2021/07/the-eu-green-bond-standard-sensible-implementation-could-define-a-new-asset-class/
Lin, F. E. (2021). Commentary: Here's how green bonds will take Singapore's reputation as a finance hub to the next level. Retrieved from channelnewsasia: https://www.channelnewsasia.com/commentary/budget-2021-green-bond-infrastructure-finance-invest-sustainable-1883071
Mai, N. T. ( 2019). Tap chi Tai chinh. Retrieved from Development trend of green bond market in the world and experience for Vietnam : https://tapchitaichinh.vn/kinh-te-vi-mo/xu-huong-phat-trien-thi-truong-trai-phieu-xanh-tren-the-gioi-va-kinh-nghiem-cho-viet-nam-302121.html
Mai, N. T. (2019). Development trend of green bond market in the world and experience for Vietnam. Retrieved from Tap chi Tai chinh.
Mai, N. T. (2019). Development trend of green bond market in the world and experience for Vietnam. Retrieved from Tap chi Tai chinh: https://tapchitaichinh.vn/kinh-te-vi-mo/xu-huong-phat-trien-thi-truong-trai-phieu-xanh-tren-the-gioi-va-kinh-nghiem-cho-viet-nam-302121.html
Mariz, Pauline Dyschryver and Frederic de. (2020). What Future for the Green Bond Market? How Can Policymakers, Companies, and Investors Unlock the Potential of the Green Bond Market? Retrieved from Journal of Risk and Financial Management: https://www.mdpi.com/1911-8074
Minh Chau, Dang Dong, Ngoc Phat, Le Nam. (2020). Green bonds: Advantages and disadvantages for development in Vietnam's stock market. Retrieved from Tap chi Thi Truong - Tien te: https://thitruongtaichinhtiente.vn/trai-phieu-xanh-thuan-loi-va-kho-khan-de-phat-trien-o-thi-truong-chung-kho
NortonRoseFulbright. (2021). European Commission publishes legislative proposal on European green bonds. Retrieved from NortonRoseFulbright: https://www.nortonrosefulbright.com/en/knowledge/publications/6d61dde7/european-commission-publishes-legislative-proposal-on-european-green-bonds
Oliver, S. K. (2014). Growing a Green Bonds Market in China: Reducing costs and increasing capacity for green investment while promoting greater transparency and stability in financial markets. Retrieved from ISSD: https://www.iisd.org/system/files/publications
P.V. (2018). Green government bonds – new capital attraction channel. Retrieved from Tap chi Tai chinh: https://tapchitaichinh.vn/kinh-te-vi-mo/trai-phieu-chinh-phu-xanh-kenh-hut-von-moi-141373.html
Phong, T. (2021). China is the world's 'champion' of greenhouse gas emissions. Retrieved from thanhnien.vn: https://thanhnien.vn/trung-quoc-xa-khi-thai-nha-kinh-vo-dich-the-gioi-post1064908.html
Serena Fatica & Robert Panzica . (2021). Green bonds as a tool against climate change? Retrieved from https://doi.org/10.1002/bse.2771
SNRD, A. (2012). Strategic mainstreaming of ecosystem-based adaptation in Vietnam. Retrieved from SNRD ASIA/PACIFIC: https://snrd-asia.org/strategic-mainstreaming-of-ecosystem-based-adaptation-in-vietnam-eba/
Tan, D. T. (2019). Potential for development of green bonds in Vietnam. Retrieved from Tap chi Cong thuong: https://tapchicongthuong.vn/bai-viet/tiem-nang-phat-trien-trai-phieu-xanh-o-viet-nam-67206.htm
Trang, Q. T. (2020). Vietnam in an effort to keep pace with the global green era. Retrieved from Tap chi Ngan Hang: http://tapchinganhang.gov.vn/trai-phieu-xanh-viet-nam-trong-no-luc-bat-nhip-voi-ky-nguyen-tai-chinh-xanh-toan-cau.htm
UNU, U. N.-W. (2013). The cost of climate change in Vietnam. Retrieved from United Nation University: https://www.wider.unu.edu/publication/cost-climate-change-vietnam
Wang, E. K. (2018). Financing green: reforming green bond regulation in the United States. Brooklyn Journal of CorporateFinance and Commercial Law, 12(2), 468-491.
WorldBank. (2018). World Bank Marks 10-Year Green Bond Anniversary with Landmark Issuance US$1.3 Billion Issuances Bring World Bank Green Bond Program to US$12.6 Billion. Retrieved from World Bank: https://www.worldbank.org/en/news/press-release/2018/11/13/world-bank-marks-10-year-
Published
2021-11-14
How to Cite
Thai, L. Q. (2021). GREEN BONDS: WORLD’S EXPERIENCES, CURRENT STATUS AND PROPOSAL FOR IMPROVING VIETNAMESE LAW. American International Journal of Social Science Research, 9(1), 56-69. https://doi.org/10.46281/aijssr.v9i1.1437
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Section
Research Paper/Theoretical Paper/Review Paper/Short Communication Paper
Copyright (c) 2021 Luu Quoc Thai
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