Project Data Sheet
Project 51056-001
Project Data Sheet
Project 51056-001
| Project Name | Green Transport Finance | ||||||||||
| Project Number | 51056-001 | ||||||||||
| Borrower / Company | Minsheng Financial Leasing Co. Ltd. |
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| Country / Economy | China, People's Republic of |
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| Location | Nation-wide | ||||||||||
| Type or Modality of Assistance |
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| Strategic Agendas | Environmentally sustainable growth Inclusive economic growth |
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| Drivers of Change | Private sector development |
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| Sector / Subsector |
Finance / Finance sector development Transport / Urban public transport |
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| Gender | No gender elements | ||||||||||
| Responsible ADB Department | Private Sector Operations Department | ||||||||||
| Responsible ADB Division | Private Sector Financial Institutions Division | ||||||||||
| Responsible ADB Officer | Doukidis, Doukas | ||||||||||
| Project Sponsor(s) | |||||||||||
| Description | A senior loan in USD with tenor of up to 8 years. | ||||||||||
| Objectives and Scope | MFL will use the proceeds of the ADB loan to finance (i) green vehicles, which include green buses as well as other commercial vehicles and passenger cars; and (ii) batteries and charging stations for electric vehicles. The green vehicle eligible for ADB financing will need to meet Euro V-equivalent emission standards and fall within at least one of these categories: (i) energy-efficient and new-energy vehicles as defined by the Government of the PRC; and (ii) vehicles running on cleaner fuel such as compressed or liquefied natural gas, or biomethane. | ||||||||||
| Status of Development Objectives | In progress | ||||||||||
| Status of Operation/Construction | Operation. A loan has been fully disbursed and used to buy 1,106 buses. |
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| Linkage to Country/Regional Strategy | The project supports three strategic priorities identified by the Midterm Review of Strategy 2020: (i) environment and climate change, (ii) middle-income countries, and (iii) private sector development and operations. The proposed project supports the country partnership strategy priorities of managing climate change and the environment and supporting inclusive economic growth. It will also support finance sector development, a private sector operational focus identified in the country partnership strategy.The project fully supports ADB's Sustainable Transport Initiative, which focuses on creating transport systems that are accessible, safe, affordable, and environment-friendly. The Sustainable Transport Initiative Operational Plan states that ADB should help developing member countries overcome sector obstacles through the wider adoption of sustainable transport, and identifies urban transport as an area in which ADB should scale-up support for sustainability. |
| Safeguard Categories | |
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| Environment | FI-C |
| Involuntary Resettlement | FI-C |
| Indigenous Peoples | FI-C |
| Summary of Environmental and Social Aspects | |
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| Environmental Aspects | MFL's operations under the ADB loan have minimal or no adverse environmental impacts. MFL's 2018 annual environmental and social monitoring report confirmed that_A-loan was only used for bus leasing, and category C on environment. MFL adopted an E&S screening checklist for the battery stations to ensure that ADB's B-loan facility will only be utilized for Category C subprojects. |
| Involuntary Resettlement | MFL's operations under the ADB loan are unlikely to entail impacts on involuntary resettlement. |
| Indigenous Peoples | MFL's operations under the ADB loan are unlikely to entail impacts on indigenous peoples. |
| Stakeholder Communication, Participation, and Consultation | MFL works with bus companies to understand their requirements. These companies are typically owned by local governments that are implementing broader government policy for a modal shift from private to public transport as well as the large-scale deployment of green vehicles. Through its longer tenor leases and close relationships with electric bus manufactures, MFL helps these companies deliver improved services to their stakeholders. |
| Timetable for assistance design, processing and implementation | |
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| Concept Clearance | 14 Feb 2017 |
| Credit Committee Meeting | 28 Jun 2017 |
| Approval | 30 Aug 2017 |
| Last PDS Update | 04 Oct 2022 |