From Finance Roadmap to Action: Unlocking Resources for Viet Nam’s Circular Plastics Economy

The event brought together more than 100 participants from government agencies, international organizations, businesses, industry associations, civil society organizations, and development partners. KLINOVA participated in the workshop as a policy research and sustainability advisory organization, closely following discussions on green finance, Extended Producer Responsibility (EPR), and the practical conditions for advancing a circular plastics economy in Viet Nam.

Discussions at the workshop underscored that the Finance Roadmap should be seen not merely as a planning document, but as a test of Viet Nam’s ability to translate policy commitments into tangible action. According to the roadmap, achieving the target of reducing marine plastic waste by 75 percent by 2030 will require an estimated USD 7.5-8.5 billion in total investment, while the current financing gap remains substantial at USD 5.2-7 billion. This gap highlights persistent structural bottlenecks across the plastics value chain, particularly low recycling rates, underinvestment in downstream recycling, and limited participation of private capital.

Speakers noted that the core challenge lies less in the absence of policy frameworks and more in implementation capacity and the design of effective financial instruments. Although EPR has been introduced, its ability to attract investment remains constrained by revenue uncertainty, high perceived risks, and the cost competitiveness of virgin plastics. At the same time, the informal waste collection sector—despite being a critical pillar of the existing system—has yet to be fully integrated into formal value chains and policy mechanisms, limiting the overall effectiveness of both EPR and emerging financing solutions.

From a policy and finance perspective, the workshop highlighted the importance of blended finance, public-private partnerships (PPPs), plastic credits, and risk-sharing mechanisms to crowd in private investment, particularly in recycling and innovation. These discussions resonate strongly with KLINOVA’s ongoing research and advisory work on sustainable finance instruments, policy design, and data standardization to support evidence-based decision-making and effective implementation.

Beyond financing, the workshop emphasized the ecological and social dimensions of plastic pollution, reinforcing that “unlocking resources” cannot be treated as a purely financial exercise. Regions such as the Red River Delta, the Mekong Delta, and the South Central Coast were identified as critical hotspots, where plastic leakage poses direct threats to sensitive ecosystems and local livelihoods. Addressing these challenges will require data-driven, inter-provincial approaches and stronger coordination among central and local authorities, the private sector, and research and advisory organizations.

Concluding the workshop, NPAP Viet Nam announced its priorities for 2026, focusing on strengthening EPR implementation, scaling up local action, and unlocking finance, alongside the appointment of new Technical Co-Chairs to enhance coordination and policy dialogue. For KLINOVA, the event provided an important opportunity to update policy insights, engage with key stakeholders, and further ground its advisory and research activities in the evolving landscape of circular economy and green finance in Viet Nam.

- Huu Hoang -