The European Union has announced plans to mobilise more than $1 billion for major infrastructure projects in Vietnam, focusing on sustainable transport and energy transition initiatives. As part of this effort, the EU has launched a $46.4 million Sustainable Transport Development Fund.

Beyond the transport fund, the EU has already committed over $580 million to Vietnam’s clean energy and sustainable transport sectors. This includes a $232 million credit line from the European Investment Bank to Techcombank to support small and medium-sized enterprises investing in renewable energy, energy efficiency, and electric mobility.

Additional funding of nearly $267 million will support the Bac Ai pumped-storage hydropower project in Ninh Thuan, developed by Vietnam Electricity, marking the country’s first facility of its kind. The EU has also contributed to projects such as the extension of Hanoi Metro Line 3 and is expected to support the development of the Lien Chieu container port in Danang.