Vietnam-Japan promote financial mechanisms in green energy transition projects. (Photo: VGP)

Deputy Prime Minister Tran Hong Ha on March 29 emphasised the important role of banks and financial mechanisms in green energy transition projects when he received Managing Director of the Japan Bank of International Cooperation (JBIC) Tanimoto Masayuki in Hanoi.

During the reception, Ha said that Vietnam and Japan have promoted cooperation within bilateral and multilateral frameworks related to just energy transition. In particular, the Asia Zero Emission Community (AZEC) Initiative includes many directions and contents of cooperation that the two sides have set out, deployed, and achieved many positive results.

Ha said that the AZEC and the Just Energy Transition Partnership (JETP) are initiatives to realise the agreement reached at the 26th United Nations Climate Change Conference (COP26).

"Now, countries around the world including the most developed are in the testing phase of reducing gas emissions and using 100% renewable energy sources. For a just energy transition, developed and developing countries should increase support for each other in terms of financial mechanisms and technology," Ha noted.

Emphasising some common goals of AZEC and JETP, the Deputy PM appreciated the feasibility of the AZEC mechanism with many specific solutions.

For his part, Tanimoto Masayuki said that JBIC has cooperated and provided loans for partners in Vietnam. It has also been supporting many Japanese businesses in implementing investment and cooperation activities abroad, including Vietnam.

He said that JBIC will further support Vietnam in green energy development, for example, bringing Japanese and European technology to help Vietnamese businesses reduce carbon emissions and save energy.

He said JBIC hopes that Vietnam can both implement a carbon-neutral strategy and ensure socio-economic development and energy security.

Vietnam is the first partner that Japan supports in the AZEC initiative, he said, adding that key international partners strongly back Japan's cooperation with Vietnam. He hoped that Japan - Vietnam cooperation in AZEC will become a model in the world.