Post by ERM

International lenders and Chinese companies urgently need each other to realize their renewable ambitions in Africa and Asia. Environmental and social (E&S) standards will make or break their negotiations. ERM’s new blog paints the path to success. Chinese companies have become dominant players in renewable energy in emerging markets. But to keep the outbound engine running, they need more capital from more diversified sources. This need coincides with ambitious plans of international lenders to finance renewable energy projects in emerging markets. Aware Chinese companies are crucial to make that happen, they are increasingly open to bankrolling Chinese outbound activities. The match is there. What will determine success is whether Chinese companies can comply with the strict E&S standards required by international lenders. Lenders should ask 4 questions to assess the bankability of Chinese projects - Is the project to be financed aligned with the lender's strategy? - Does the project design integrate high E&S standards from day one? - Does the project have a lender-grade environmental and social management system (ESMS) to govern contractors? - Have the E&S requirements of all other lender participants been met? For more, read our blog “Financing China’s next wave of emerging market infrastructure” https://lnkd.in/gf6gj5Qg #renewables #China #E&S #infrastructure #emergingmarkets