(VOVWORLD) - The US International Development Finance Corporation (DFC) has signed a letter of interest (LOI) with electric vehicles maker VinFast considering the Vietnamese company's application for a 500 million USD loan for expansion, VinFast said on Monday.
 VinFast CEO Le Thi Thu Thuy and DFC CEO Scott Nathan at the signing of the Letter of Interest (Photo: VTC) |
The signing took place on the sidelines of the 28th UN Climate Change Conference of the Parties (COP28) in Dubai.
The loan, which will be used to support VinFast's establishment of lithium-ion battery manufacturing facilities in Vietnam, is subject to a comprehensive review and approval process by the DFC. The project will be the first in a series of sustainable transport development initiatives actively discussed by the two sides.
Prior to VinFast, the DFC had announced a 737 million USD investment in Vietnam, the largest investment in the Southeast Asia. The signing of the letter of interest with VinFast was considered a significant milestone that deepens the Vietnam-US comprehensive strategic partnership.
The DFC is the US government's agency responsible for promoting private investment in developing countries. It focuses on projects that have positive development impact, environmental and social protection, uphold human rights and ensure labour rights.