Hanoi, 28 November 2012: Today, the GBP 7 million Vietnam Business Challenge Fund (VBCF) is officially launched in Hanoi. This is a continuation of UK efforts, through the Department for International Development (DFID), to provide non-reimbursable co-funding support to innovative, sustainable and inclusive business projects in Vietnam.
The VBCF is managed by SNV Netherlands Development Organization, a global and local pioneer in sustainable and inclusive business models. VBCF is implemented with the support of the Vietnam Business Council for Sustainable Development (VBCSD), Vietnam Chamber of Commerce and Industry (VCCI), and SPARK Center for Social Entrepreneurship Development.
The VBCF is a specialized fund designed to support private sector companies in Vietnam to develop new business models that deliver both commercial benefits for the company and social impact for low income populations, including job creation, income improvements and access to affordable goods and services. The VBCF builds on the success of the recently completed Vietnam Challenge Fund (2009-2012), co-funded by the UK and the Asian Development Bank (ADB), and managed by the ADB.
Although Vietnam has made great strides in lifting millions of people out of poverty, challenges are still ahead. It is therefore extremely important to target the low income population during this period of economic difficulty, both domestically and globally, to ensure that achievements to date are protected, and opportunities are created for a more sustainable development.
“The launch of this second and much larger Challenge Fund in Vietnam demonstrates our confidence in this approach. We learnt from the impressive impact of our first venture that the creativity and capacity for innovation of the private sector in this country is abundant. This Challenge Fund can help catalyse the ambition of the private sector into tangible business projects. At the same time, it aims to bring jobs and better incomes for the poor or as our slogan for this second Challenge Fund states: “Business Opportunities – Community Benefits” – Ms Finona Louise Lappin, Head of DFID Vietnam said.
The VBCF will provide business mentoring support and award non-reimbursable funding of selected proposals to companies operating in Vietnam through an open and competitive process. Funding is available for up to USD 800,000 per project that will benefit the low income people, be commercially sustainable and replicable in the long run.
The VBCF will focus its support in three areas that are identified as key to the continuous development of Vietnam and pro-poor growth, including agriculture, low-carbon growth, infrastructure and basic services.
Or contact:
Vietnam Business Challenge Fund
T: 84-4-37265214
E: info@vbcf.org.vn
