China, People's Republic of : Far East Horizon Health Care Finance in Rural Areas for COVID-19 Response Project

Nonsovereign Project | 54366-001

Project Name Far East Horizon Health Care Finance in Rural Areas for COVID-19 Response Project
Project Number 54366-001
Borrower / Company Far East Horizon Limited
Country / Economy China, People's Republic of
Location Nation-wide
Type or Modality of Assistance
Operational Priorities OP2: Accelerating progress in gender equality
OP5: Promoting rural development and food security
Sector / Subsector

Finance / Small and medium enterprise finance and leasing

Gender Effective gender mainstreaming
Responsible ADB Department Private Sector Operations Department
Responsible ADB Division Portfolio Management Division, PSOD
Responsible ADB Officer Rasheed, Tayyaba
Project Sponsor(s)
Description
Objectives and Scope The project entails the Asian Development Bank (ADB) providing longer-tenor financing to FEH for lease finance offered through its wholly owned subsidiary, International Far Eastern Leasing Co., Limited (IFEL), to rural county public hospitals in the PRC. The equipment financed by the loans will be used exclusively for county-level public hospitals, which primarily serve the population in surrounding rural areas. At least 60% of the proceeds will be deployed to finance leases to designated COVID-19 treatment hospitals in rural counties.
Status of Development Objectives In progress.
Status of Operation/Construction Operational- loan fully disbursed.
Linkage to Country/Regional Strategy By financing hospitals in rural counties, the project will help address inequalities in health care access in the PRC. By promoting private sector finance for public health care investment, ADB will help develop a suitable solution for public health care finance in an upper middle-income country. The project is consistent with ADB's country partnership strategy for the PRC, 2016-2020, which emphasizes inclusive and sustainable growth and targeted interventions in the finance sector. The project is in line with ADB's operational plan for health, 2015-2020, which supports universal health coverage and identifies investing in health infrastructure and financing health service delivery as key priorities.
Safeguard Categories
Environment FI-C
Involuntary Resettlement FI-C
Indigenous Peoples FI-C
Summary of Environmental and Social Aspects
Environmental Aspects The project will only finance the lease or purchase of medical equipment through direct lease or sale and leaseback transactions. FEH's business activities using ADB's proceeds will have minimal or no adverse environmental or climate change impacts. The loan's potential environmental and social (E&S) impacts, and its risks associated with FEH's use of proceeds and capacity for E&S management, have been assessed based on performance in the implementation of the active ADB loan to FEH to support financial leasing of medical equipment in underdeveloped regions. The E&S measures and the institutional capacity to manage the project's E&S impacts are deemed adequate. ADB funds will not be used to finance any construction or expansion activities that may lead to adverse environmental impact.
Involuntary Resettlement The project will only finance the lease or purchase of medical equipment through direct lease or sale and leaseback transactions. ADB funds will not be used to finance any construction or expansion activities that may lead to involuntary resettlement impact.
Indigenous Peoples The project will only finance the lease or purchase of medical equipment through direct lease or sale and leaseback transactions. ADB funds will not be used to finance any construction or expansion activities that may lead to indigenous peoples impacts.
Stakeholder Communication, Participation, and Consultation FEH maintains close communication and engagement with its identified stakeholders with active email and hotline services to accept and resolve issues or concerns from stakeholders and disseminate information. FEH also has in place a supplier feedback mechanism to manage potential environmental and social risks and publishes Corporate Social Responsibility (CSR) Report annually.
Timetable for assistance design, processing and implementation
Concept Clearance -
Credit Committee Meeting 12 Oct 2020
Approval -
Last PDS Update 11 Oct 2023

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

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Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

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Evaluation Documents See also: Independent Evaluation

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Related Publications

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