The signing took place on January 21 after several rounds of negotiations between the governments. The signatory from the Vietnamese side was Deputy Minister of Finance Tran Xuan Ha and from the Finnish side was Finnish Ambassador to Vietnam Kari Kahiluoto.

The PIF supports the public sector investments in developing countries in line with the Sustainable Development Goals of the UN and utilise Finnish expertise and technology. It supports investment projects in social services provision, such as water supply, environmental sanitation, environment protection, climate change response, energy, and clean technology.

In a pre-recorded remark, Finnish Minister for Development Cooperation and Foreign Trade Ville Skinnari said he expects with the PIF, Vietnam will have additional public funding while companies from Finland with years of experience, expertise, and suitable technology solutions can gain broader access to the Vietnamese market.

The implementation of the agreement will play a vital part in nurturing the long-term and effective partnership between Finland and Vietnam, the minister said.

Vietnam and Finland has established diplomatic ties more than five decades ago. Two-way trade has increased four times over the last 10 years. Thousands Vietnamese students are pursuing education in Finland.