GuarantCo’s first Vietnam transaction, a 7-year bond guarantee for Nam Long Investment Corporation, successfully matured

  • Date written
  • October, 2025

GuarantCo, part of the Private Infrastructure Development Group (PIDG), has reached maturity of its guarantee over a VND 660 billion bond issuance by Nam Long Investment Corporation, a leading housing developer in Ho Chi Minh City, Vietnam.

GuarantCo’s first Vietnam transaction, a 7-year bond guarantee for Nam Long Investment Corporation, successfully matured

Through GuarantCo’s support, Nam Long was able to tap into new sources of competitively priced long-term finance from local institutional investors to fund the growth of its housing development projects.

Vietnam’s advancing urbanisation – with population growth of circa 340,000 people annually in Ho Chi Minh City alone – have driven rapidly rising demand for entry-level housing units.

The bonds proceeds were used to finance core infrastructure of Nam Long’s flagship Waterpoint township project in Long An province, which is planned to deliver quality homes over a 10-year period. They also supported for essential infrastructure including roads, water supply, rainwater drainage, sewage systems and electrical cabling in Hai Phong and Dong Nai.

The 2018 social infrastructure transaction was GuarantCo’s first in Vietnam, which has since become one of its most active markets. In a demonstration of the local debt capital market development that has been achieved, by the end of 2024 GuarantCo had supported Vietnam’s first internationally verified green bond in the aquaculture sector and pioneering green project bond in the water sector. The latter, supporting the Xuan Mai water supply system was the longest-tenor project bond in the country to date at 20 years.

Nishant Kumar, Managing Director of Asia Investments at GuarantCo and Head of Coverage – Asia at PIDG, said:

“We are proud to have successfully brought our obligations to Nam Long to maturity following our seven-year partnership. Reaching this milestone of concluding our first transaction in Vietnam is a moment to reflect on how far GuarantCo has come in developing Vietnam’s capital markets in support of critical sustainable infrastructure projects. Each innovative solution we deliver in the market serves to increases the confidence of local investors and the flow of private capital into infrastructure as the backbone of economic growth.”

Eric Chan, Group Chief Financial Officer at Nam Long Investment Corporation, said:

“The 2018 transaction with GuarantCo helped us finance critical infrastructure across our projects, creating the foundation for thousands of quality homes for Vietnamese families. We are proud that this partnership not only delivered on its commitments but also contributed to setting new standards in sustainable housing development in Vietnam.”

NOTES TO EDITORS

About GuarantCo

GuarantCo mobilises private sector local currency investment for infrastructure projects and supports the development of financial markets in lower income countries across Africa and Asia. GuarantCo is part of the Private Infrastructure Development Group (PIDG) and is funded by the governments of the United Kingdom, Switzerland, Australia and Sweden, through the PIDG Trust, the Netherlands, through FMO and the PIDG Trust, France through a stand-by facility and Global Affairs Canada through a repayable facility. GuarantCo is rated AA- by Fitch and A1 by Moody’s. Since 2005, GuarantCo has enabled USD 7.1 billion of total investment and USD 6.8 billion of private sector investment, giving 44.8 million people access to infrastructure and creating around 248,000 jobs. GuarantCo’s activities are managed by GuarantCo Management Company which is part of Cardano Development. www.guarantco.com

About PIDG

The Private Infrastructure Development Group (PIDG) is an innovative infrastructure project developer and investor which mobilises private investment in sustainable and inclusive infrastructure in sub-Saharan Africa and south and south-east Asia. PIDG investments promote socio-economic development within a just transition to net zero emissions, combat poverty and contribute to the Sustainable Development Goals (SDGs). PIDG delivers its ambition in line with its values of pioneering, partnership, safety, inclusivity, and urgency.

 

PIDG offers Technical Assistance for upstream, early-stage activities and concessional capital; its project development arm – InfraCo – invests in early-stage project development and project and corporate equity. PIDG credit solutions include EAAIF (the Emerging Africa & Asia Infrastructure Fund), one of the first and more successful blended debt funds in low-income markets; GuarantCo, its guarantee arm that provides credit enhancement and local currency solutions to de-risk projects; and a growing portfolio of local credit enhancement facilities, which unlocks domestic institutional capital for infrastructure financing.

 

Since 2002, PIDG has supported 258 infrastructure projects to financial close, which provided an estimated 232 million people with access to new or improved infrastructure. PIDG is funded by the governments of the United Kingdom, the Netherlands, Switzerland, Australia, Sweden and Global Affairs Canada. www.pidg.org