Reporting – Industrial Bank CO., LTD (2019)

Adoption Date:31 October 2008
Country of Headquarters:China
Region of Headquarters:Asia
Institutional Reporting Hyperlink:https://www.cib.com.cn/en/aboutCIB/social/report/index.html
Current EPFI Reporting Year/Period:2019
EPFI Reporting in Compliance:Yes

Please read the important notes and disclaimer for further information on ‘EPFI Reporting’, compliance and publication on the Equator Principles Association website.

Further information on this EPFI may be obtained through the Institutional Reporting Hyperlink above.

PROJECT FINANCE ADVISORY SERVICES

Total number mandated in the reporting period: 0

PROJECT FINANCE TRANSACTIONS

Total number that reached financial close in the reporting period: 24

Totals10122
Totals10122
SectorCategory ACategory BCategory C
Mining1
Infrastructure462
Oil & Gas
Power12
Others44
RegionCategory ACategory BCategory C
Americas
Europe, Middle East & Africa
Asia Pacific10122
Country DesignationCategory ACategory BCategory C
Designated1
Non-Designated10122
Independent ReviewCategory ACategory BCategory C
Yes10122
No

1Designated Countries are those countries deemed to have robust environmental and social governance, legislation systems and institutional capacity designed to protect their people and the natural environment. For the list of Designated Countries, go to: https://www.equator-principles.com/index.php/ep3/designated-countries

PROJECT NAME REPORTING FOR PROJECT FINANCE TRANSACTIONS

24 projects were not disclosed as per the disclosure conditions specified in Annex B of the Equator Principles

PROJECT-RELATED CORPORATE LOANS

Total number that reached financial close in the reporting period: 4

Totals130
SectorCategory ACategory BCategory C
Mining
Infrastructure
Oil & Gas
Power1
Others12
RegionCategory ACategory BCategory C
Americas
Europe, Middle East & Africa
Asia Pacific13
Country DesignationCategory ACategory BCategory C
Designated1
Non-Designated13
Independent ReviewCategory ACategory BCategory C
Yes13
No
Totals130

1Designated Countries are those countries deemed to have robust environmental and social governance, legislation systems and institutional capacity designed to protect their people and the natural environment. For the list of Designated Countries, go to: https://www.equator-principles.com/index.php/ep3/designated-countries

IMPLEMENTATION OF THE EQUATOR PRINCIPLES

Continue to monitor and assess the environmental and social impacts and performances in the project duration
2019 is the twelfth year since IB adopted the EPs. IB has continued to monitor and assess the environmental and social impacts and performances in the project duration, and organized its departments at all levels to carry out comprehensive self-inspection and off-site inspection on the implementation of the EPs with the existing EPs projects as the starting point and regulative emphasis. The special investigation covered all of the existing projects, mainly focusing on the due diligence process of environmental and social risks, the assessment quality and efficiency of the Independent Environmental and Social Consultant  and the management of project duration, so as to effectively improve our management and implementation effects of the EPs projects.

Make the whole-process management tools of the EPs projects more sound and applicable in a detailed manner
The Bank has started a special management regulation for the Independent Environmental and Social Consultant environmental and social impact assessment agencies of the EPs projects. The regulation regulated the access standards, selection procedures, supervision and management of the Independent Environmental and Social Consultan as well as the quality control of the EPs project compliance assessment reports according to our due diligence of environmental and social risks of the EPs projects, the performance of the Independent Environmental and Social Consultan and the branches’ needs. It also improved the service management system accordingly, and regulated the management quality and efficiency of the Independent Environmental and Social Consultan environmental and social impact assessment agencies to further promote our implementation of the EPs projects.

Continue the training, publicity and implementation of the EPs and environmental and social risk management
In 2019, the Bank organized 74 trainings of the EPs accumulatively, with a total of 4,900 participants and a total duration of more than 7,200 minutes. A total of 36,146 participants have learned the online training courses on our electrical training platform “IB Knowledge” app, with the theme “the Environmental and Social Risk Management of Banks in the Background of ‘Strict Environmental Protection and Supervision’” & the “Compliance Lectures of ‘IB Voyage’”.

Data of the EPs Projects
The Bank’s head office evaluated the applicability of 105 projects to the EPs from January 1to December 31, 2019. The evaluation involved a total investment of about RMB 540.101 billion, 101 clients and 56 industries with national standards, as well as 24 IB branches. A total of 28 EPs projects have reached the stage of financial close (i.e. with a financing contract signed), including 24 project financings and 4 project-related corporate loans.
As of late 2019, the Bank had accumulatively evaluated the applicability of 1,164 projects to the EPs, involving 491 EPs projects and total investment of RMB 2,156.6 billion.
Project Financing: In 2019, the Bank had a total of 24 effective project financings, including 10, 12 and 2 ones for the projects of category A, B and C respectively. The projects are all located in China and mainly distributed in the industries such as highway construction, wind power generation and real estate. As for the projects of category A and B, the Bank has hired the Independent Environmental and Social Consultant to assist in due diligence and assess their applicability to the EPs.
Project-related Corporate Loans: In 2019, the Bank had a total of 4 project-related corporate loans in effect, including 1 and 3 ones for the projects of category A and B respectively. The above projects are all located in China and mainly distributed in the industries such as thermoelectric production and manufacturing of lithium batteries. The Bank has hired the Independent Environmental and Social Consultan to assist in due diligence and assess their applicability to the EPs.

 

https://www.cib.com.cn/en/aboutCIB/social/report/index.html

https://download.cib.com.cn/netbank/download/cn/Sustainable_Finance/report_2019en.pdf