On September 9, Industrial Bank (IB) and International Finance Corporation (IFC) entered into a cooperation memorandum at the 17 th China International Fair for Investment & Trade (CIFIT). Both parties will launch all-round cooperation with regard to supporting the energy conservation and emission reduction in the construction industry and boosting the development of green buildings in China.
Green buildings refer to those buildings that can save resources (energy, land, water and material), protect environment and reduce pollution to the largest extent, provide healthy, appropriate and efficient spaces for people to use, and coexist with the nature harmoniously. In the Opinions on Expediting the Development of Energy Conservation and Environmental Protection issued by the State Council in August, the green building action has been listed as an important part into the China Construction Planning of Energy Conservation and Environmental Protection Project.
As learnt by the reporter, IFC boasts rich experience in operating green building projects around the world. The green building certification system (EDGE) developed by it is the local evaluation standard for green buildings in Jakarta, Indonesia. It also extended green building loans or carried out equity investment in a number of countries including Mexico, Colombia, Rwanda, Mali, and Romania. As the only Equator bank in China, IB has made constant innovation in green financial services for years. In the field of green building, the Bank has fully utilized diversified financing methods to extend the financing channel for green building projects, provided a total of financing value nearly RMB 10 billion for a large number of green building projects either by offering credit or non-credit financing services. Hence, IB has accumulated rich professional experience. With this cooperation between IB and IFC in the field of green building, both parties will share their successful experience in domestic and international green building projects and expert resources with each other, work together to develop and design green building financing products and services suitable for the national situation of China, explore China's green building market, and jointly push forward the development of green building industry in China.
It is said that, as the forerunner of green finance in China, IB has kept intensified its efforts in product innovation and its support in the field of energy conservation and environmental protection in recent years. For instance, considering the financing difficulty of customers in emerging energy conservation and environmental protection industries, the Bank introduced the energy conservation and emission reduction (CHUEE) financing products specifically designed for SMEs in the underdeveloped areas and enhanced the credit ratings of enterprises with the loss sharing mechanism; considering the energy management companies, customized financing for energy performance contracting (EPC) by using the future usufruct as the pledge; and considering the franchised projects related to energy conservation and environmental protection such as sewage treatment plant and solid waste reclamation, released the financing products by pledging the franchised business right. Such a range of product innovations broadened the financing channels of enterprises engaging in energy conservation and environmental protection, and a considerable number of corporate customers engaging in energy conservation and environmental protection that have great development potential and prominent specialized advantages but lack guarantee resources have received credit support. Meanwhile, the Bank has also established regional offices specialized in green finance in branches so as to further improve the bank's overall differentiated competitive edges in green finance, and enhance regional specialized green finance brands, and regional and specialized business operation.