Meeting the challenges of climate change
Promoting sustainable urban development
Facilitating the energy transition
Investing in young people and social ties
Putting efforts into ideas
On the edge of Southeast Asia, Vietnam stretches along the coast of the end Indochinese Peninsula. With a population of over 92 million, it is one of the fifteen most populous countries on the planet.
Vietnam has seen record development over the last thirty years. Opening up the economy and political reforms have borne fruit: for several years now, its annual growth rate has stood at 6%. As for the level of poverty, it has fallen, from 37% in 1998 to 8.2% in 2014. For the "new dragon of Southeast Asia", the issues have changed: today they are related to its rapid urbanisation, vulnerability to natural hazards and disasters and the challenge of climate change.
By 2025 Vietnam's population will have reached 100 million. A level of demographic growth that raises numerous issues: need for a rapid response to the increase in demand for energy, need to adapt the cities to the increase in the number of their inhabitants, need to train the millions of young people entering the job market every year and to improve productivity to make the country more competitive on the global stage. All of this while guaranteeing the social welfare of the population.
With its 3,260 km of coastline and two deltas, the Mekong Delta in the south and the Red River Delta in the north, Vietnam is one of the countries most vulnerable to the effects of climate change. In addition, weather-related hazards (rising water levels, flooding, drought) are affecting its coastal regions, cities and most important agricultural regions, thereby threatening production and the incomes of rural populations. Regularly affected by adverse events of this kind, the country has to adapt and take concrete action. As a signatory of the Paris Climate Agreement, Vietnam has undertaken to reduce its CO2 emissions by 8% by 2030 relative to the baseline scenario, and this could be increased to 25% thanks to foreign aid.
Present since 1994, AFD works in close collaboration with the Vietnamese authorities to help the country take the path of green, inclusive, resilient growth and fight against climate change. It offers an extensive range of financial instruments: sovereign and non-sovereign loans and grants to the State and public sector.