VP Bank to get $100mln loan from China-backed AIIB for COVID-19 response

The money is expected to help the Vietnamese bank lend more to private firms disrupted by the COVID-19 pandemic.

The project will be co-financed by the International Finance Corporation, the AIIB said in a statement.

The loan is part of the AIIB’s $10 billion funding facility to help public and private sectors fight the outbreak.

"Small and medium enterprises are the backbone of the economy and by injecting liquidity into the market, we can help this critical sector as part of the overall economic recovery in Vietnam," said AIIB Vice President, Investment Operations, D.J. Pandian.

As of July, AIIB has approved a total of 16 projects under its COVID-19 Crisis Recovery Facility, amounting to over $5.9 billion to support 12 members in navigating the challenges of these highly uncertain times, the it said in a statement.

Source: Reuters