AIIB Breaks New Ground with USD100 Million Green Loan, Catalyzing Climate Action and Clean Water Access

The Asian Infrastructure Investment Bank (AIIB) has inked a landmark USD100 million (equivalent in CNY) green and blue loan agreement with JC International Finance & Leasing Co., Ltd. (JC Leasing), a member of Legend Holdings Corporation. Notably, this marks AIIB’s inaugural “blue” loan, directed towards ocean and coastal preservation efforts and enhancing access to clean water resources.

The loan is poised to bolster JC Leasing’s green and blue finance portfolio within China, aligning seamlessly with AIIB’s strategic thematic priorities of Green Infrastructure and Private Capital Mobilization. Proceeds from the loan will facilitate blue initiatives such as water supply and sanitation, in addition to supporting green activities like energy efficiency, clean transport, and renewable energy projects.

Najeeb Haider, Director General of AIIB’s Project and Corporate Finance Clients Department (Global), underscored the significance of this milestone, stating, “This ‘blue’ loan marks a significant milestone in the Bank’s efforts to support climate change mitigation and enhance clean water resources.” Haider further emphasized AIIB’s commitment to pioneering innovative financing solutions in the climate sector, setting a precedent for future blue finance initiatives and reinforcing the bank’s role in climate change mitigation and environmental sustainability.

With a strong track record in the leasing industry across diverse sectors including advanced manufacturing, power and water supply, transportation, education, healthcare, and social services, JC Leasing is well-positioned to leverage the AIIB loan to expand its climate-focused initiatives. The company aims to grow its climate leasing portfolio to approximately 15% by 2028.

The financing transaction adheres meticulously to the Green Loan Principles of the Loan Market Association, ensuring transparency in the utilization of proceeds, as well as rigorous monitoring and reporting practices. AIIB has collaborated closely with the International Finance Corporation to jointly support JC Leasing in this endeavor.