On March 24, 2025, a pivotal workshop titled "Introduction to the Handbook on the ESG Implementation Framework, ESG Reporting and Implementation Guidelines for Three Sectors" was held in Hanoi. This event was organized by the Department of Private Business Development and Collective Economy (APED) of the Ministry of Finance, in collaboration with the British Embassy and Ernst & Young Vietnam (EY Vietnam), to bolster the integration of Environmental, Social, and Governance (ESG) principles into business practices in Vietnam.
Nguyen Duc Trung, Deputy Director of APED, emphasized in his opening remarks that the adoption of ESG standards is not merely a trend but a crucial guideline for sustainable development. “In the context of globalization and climate change, applying ESG standards is essential not only for businesses but also for the economy,” he stated.
The ESG Handbook is tailored to aid small and medium-sized enterprises (SMEs) and organizations supporting them to navigate the complexities of sustainable finance and practices. This comprehensive document serves as a guide for businesses to enhance their reporting capabilities and comply with strict ESG regulations that are increasingly being imposed by major markets.
Fergus McBean, First Secretary for Climate and Nature at the British Embassy, highlighted the significance of ESG in shaping business strategies and investments. “ESG is one of the key factors that influence the strategy and investment of businesses. Practicing ESG helps Vietnamese companies meet requirements from international financial institutions,” he affirmed.
Vietnam, as a leading exporter with a projected trade scale nearing 800 billion USD in 2024, is in a strong position to benefit from implementing ESG practices. Trade between Vietnam and the UK reached 8.4 billion USD last year, while exports to the EU surpassed 68 billion USD, underlining the importance of complying with ESG criteria to maintain market access.
Despite the acknowledged importance of ESG, there remains a significant gap between awareness and actual implementation among Vietnamese businesses. Challenges persist related to understanding ESG concepts, deployment strategies, and securing necessary financial resources.
“Many enterprises are increasingly focusing on the environmental aspects of ESG, but practical implementation remains fraught with challenges,” McBean noted. He also expressed hope that the ESG Handbook will bridge the existing gaps and facilitate easier implementation processes for Vietnamese firms.
Nguyen Viet Long, Deputy General Director of Consulting at EY Vietnam, elaborated on the handbook's potential. He stated, “The ESG Handbook has been developed to assist the business community in understanding and practicing ESG more conveniently, thus creating opportunities to expand the market and access sustainable financing.”
The event highlighted that whilst many companies are taking initial steps towards ESG compliance, the journey is still just beginning. The handbook aims not only to introduce tools and references but also to guide businesses in preparing sustainable development reports based on established criteria.
The collaboration seen in this project represents a broader effort, with the Ministry of Finance committing to continue supporting businesses in their ESG endeavors. “We are focused on promoting green growth and sustainable development, aiming for a transparent, responsible, and deeply integrated economy,” Trung noted.
Ultimately, as ESG becomes an increasingly critical element of global commerce, mastering its principles will be essential for Vietnamese enterprises to enhance competitiveness and navigate international market dynamics successfully.
