ADB, Vinschool Sign First Sustainability-Linked Loan in Viet Nam’s Education Sector

HA NOI, VIET NAM (18 March 2025) — The Asian Development Bank (ADB) has led and signed a $150 million syndicated sustainability-linked loan with Vinschool Joint Stock Company. The loan will be used to expand the Vinschool education system, providing educational facilities for 20,400 students in urban areas of Ha Noi, Ho Chi Minh City (HCMC), and Hung Yen.   

“This project marks ADB's first private sector investment in Viet Nam's education sector and highlights our commitment to fostering sustainable development in the country,” said ADB Country Director for Viet Nam Shantanu Chakraborty. "By supporting the country’s first sustainability-linked loan in the education sector, we aim to enhance educational infrastructure while contributing to new residential hub development in the country."

As the mandated lead arranger and bookrunner, ADB has syndicated and structured a financing package that includes a $40 million loan from ADB Ordinary Capital Resources, a $35 million loan from the Leading Asia’s Private Sector Infrastructure Fund 2 (LEAP 2) administered by ADB, and $75 million in parallel loans.  

The parallel loans comprise $40 million from ILX, an Amsterdam-based emerging market asset manager, and $35 million from the Emerging Africa & Asia Infrastructure Fund, an emerging market infrastructure debt fund established by the Private Infrastructure Development Group and managed by NinetyOne. The loan has been validated through a second-party opinion from DNV Business Assurance Vietnam Co., Ltd.

Viet Nam has made significant progress in expanding education coverage, achieving an impressive 98% literacy rate and over 98% primary education enrollment. However, as the nation strives to transition from a developing to a middle-income country, there is a critical need to improve education quality and enhance education access in rapidly urbanizing cities. The private sector, including institutions like Vinschool, is vital in bridging this gap.

"We are delighted to partner with ADB and other impact focused lenders on this groundbreaking initiative. This investment will enable us to provide high-quality learning opportunities to more students while setting a benchmark for sustainable education in Viet Nam," said Vinschool Chief Executive Officer Phan Ha Thuy. "This is a project that underscores Vinschool’s commitment to Environmental, Social, and Governance principles, reinforcing its dedication to sustainable development."

LEAP 2 is an ADB-managed fund with a $1.5 billion commitment from the Japan International Cooperation Agency (JICA). It focuses on sustainable private sector infrastructure projects that reduce carbon emissions, improve energy efficiency, and provide affordable health care, education, and communication services to ADB’s developing member countries.

Established in 2013, Vinschool is the largest private school system in Viet Nam, offering high quality education from kindergarten to high school. Vinschool currently serves more than 48,000 students across 54 campuses in Ha Noi, HCMC, and four other provinces, offering both national curriculum and Cambridge bilingual programs. Vinschool is a subsidiary of Vingroup Joint Stock Company, one of Viet Nam’s largest conglomerates. 

ADB is a leading multilateral development bank supporting sustainable, inclusive, and resilient growth across Asia and the Pacific. Working with its members and partners to solve complex challenges together, ADB harnesses innovative financial tools and strategic partnerships to transform lives, build quality infrastructure, and safeguard our planet. Founded in 1966, ADB is owned by 69 members—49 from the region.