IFC Invests US$100M in Vietnamese Bank to Expand Access to Home Loansby Fintech News Vietnam February 9, 2023
The International Finance Corporation (IFC) has invested US$100 million investment in Joint Stock Commercial Bank Southeast Asia (SeABank) in a push to create greater access to home loans in Vietnam.
With this investment, SeABank is expected to at least double the number of loans to buy mid-end and affordable homes by 2026.
Additionally, IFC will also advise SeABank on the development of financial products specialising in housing to better serve low- and middle-income people.
IFC has partnered with both housing developers and banks in Vietnam to increase the supply of affordable housing and home loan financing for middle-income and middle-income households. accessible low.
Previously, SeABank received investments and mobilised capital up to nearly US$500 million from IFC, DFC and international investment funds to increase financial access for SMEs, especially women-owned businesses and climate finance expansion.
“The housing needs of low- and middle-income households in Vietnam are currently very high, but their access to financial products is very limited. IFC’s funding will provide
SeABank with stable long-term capital and help us strengthen our affordable housing-related loan portfolio, thereby promoting access to home loans and expansion market and promote economic growth in Vietnam.”
said Le Thu Thuy, Vice Chairman of SeABank’s Board of Directors.
“By supporting a leading private commercial bank, IFC will help address the lack of affordable housing development financing solutions and send a positive signal to the market about the potential of this unexploited segment.
We believe this will have a positive impact on other banks, making this sector more competitive to be able to meet the growing housing demand in Vietnam,
said Thomas Jacobs, IFC Country Director for Vietnam, Cambodia and Lao PDR.