Page 419 - Ebook HTKH 2024

Sixth, Vietnamese commercial banks need to regularly and periodically inspect and
monitor the management of environmental and social risks for green consumer credit

granted to customers.Control must be strictly implemented right from the appraisal stage
to limit the granting of green credit to individual customers consuming products that
have negative impacts on the environment and society. At the same time, Vietnamese
commercial banks need to regularly monitor the granted green consumer credit to help
limit environmental and social risks. In addition, periodic inspections also encourage
individuals to use the Bank's green credit for the right purpose, safely and effectively.
Recommendations for the Government
First, the Government needs to develop and implement incentive policies such as:

tax incentives, interest rate support policies, and the establishment of support funds. Tax
incentives are policies to reduce or exempt taxes for businesses and individuals
participating in green credit projects. When businesses producing industrial products
enjoy tax incentives, the selling price of those products will be lower than when
businesses producing industrial products do not enjoy tax reduction or exemption; And
then consumers will find it easier to buy green industrial products because they both

enjoy tax reduction or exemption policies and can buy green industrial products at
cheaper prices. Interest rate support policies are policies to provide preferential interest
rates for green consumer credit loans to reduce borrowing costs for consumers. In
addition, the Government needs to establish support funds for green consumer credit
activities such as credit guarantee funds.
Second, the Government needs to develop a legal framework and standardize
criteria for green industrial product consumption. Developing a legal framework means

that the Government needs to improve legal regulations related to green consumer credit
to ensure transparency and safety. Standardizing green consumer criteria means
developing clear and transparent criteria to determine green industrial product
consumption activities. This will also create conditions for businesses and research
organizations to cooperate to develop and apply effective green consumer credit
solutions.

Third, the Government needs to promote propaganda about the benefits of green
consumer credit and the significance of green economic growth. At the same time, the
Government also organizes training programs for bank and business officials on green
consumer credit and the skills needed to implement these projects.
Fourth, the Government can refer to and apply successful green consumer credit
models from other countries and participate in international programs and organizations
to receive technical and financial support for green consumer credit projects.
Fifth, the Government needs to establish a system to monitor and evaluate the

effectiveness of green consumer credit programs; require financial institutions to
periodically report on green consumer credit activities and results achieved.
Implementing these recommendations will create a favorable environment for the

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