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© 2025 Gabriel Veit buyers, while improvements are needed in the MRV system and
However, most of these credits are still sold to international

benefit-sharing mechanisms to strengthen investor confidence.
From the business perspective, Doan Hong Nhung of the
University of Law under the Vietnam National University, Hanoi,
said complex MRV requirements, limited digital infrastructure

and an incomplete carbon credit database have increased
compliance costs, particularly for small and medium-sized
enterprises.
Ministry of Agriculture and Environment (MAE) have officially She called for standardised MRV procedures, a centralised
launched Vietnam's domestic carbon exchange, marking a carbon registry, measures to prevent double counting of
major milestone in the country's efforts to establish a carbon credits and stronger incentives such as green finance and
market. tax preferences.
Beyond supporting Vietnam's goal of achieving net-zero Meanwhile, Phan Duy Hoa of the Foreign Trade University
emissions by 2050, the exchange provides businesses with noted that carbon credits have yet to be clearly recognised

a mechanism to proactively manage emissions by trading as property rights under Vietnamese law, making it difficult for
emission allowances and carbon credits. businesses to transfer, account for or use them as collateral
Nguyen Tuan Quang, Deputy Director of the MAE’s to access green financing.
Department of Climate Change, said the market's technical Establishing a clear legal status for carbon credits, he
infrastructure comprises three key components: the national said, will help unlock the market's full potential.
registry for greenhouse gas emission allowances and carbon As climate-related trade measures such as the EU's Carbon
credits, the carbon trading platform and the repository and Border Adjustment Mechanism (CBAM) increasingly affect

settlement system. exports, a transparent domestic carbon market supported
Alongside infrastructure development, the government has by verified emissions data will help businesses adapt, reduce
approved a pilot greenhouse gas emission allowance cap for compliance costs and enhance competitiveness.
the 2025–2026 period and allocated more than 511 million Without transparency and market confidence, however,
tonnes of CO2 equivalent to 110 facilities. This forms the initial carbon trading risks becoming a transactional exercise rather
supply for Vietnam's domestic carbon market. than an effective driver of real emissions reductions.
Experts say the launch of the trading platform is only the
first step. The long-term success of the market will depend Speeding up forest boundary maps to support
on a transparent system backed by robust measurement, compliance with EUDR

reporting and verification (MRV) standards to ensure every Vietnam is speeding up the development of a 2020 forest
transaction reflects genuine emissions reductions. boundary map to help exporters comply with the European
According to Tran Duc Phu of the Foreign Trade University, Union Deforestation Regulation (EUDR) and reduce risks for
Vietnam currently has around 116 carbon projects at various key export sectors such as coffee, rubber and timber when
stages of development, including 40 that have already been accessing the EU market.
certified, with annual carbon credit issuance estimated at At a webinar organised on 29 May by the Forestry EUDR
about 10.7 million credits. Network, Truong Tat Do from the Forestry and Forest Protection