ICBC Leasing signs $500 million MOU with Ethiopian Airlines for aircraft fleet expansion
Pledged amount
$ 553547615.7042441
Adjusted pledged amount
$ 553547615.7042441
Constant 2021 USD
Not recommended for aggregates
This project is not recommended for use in creating aggregated sums. See the documentation for more information about this criteria.
Summary
Funding agency [Type]
ICBC Financial Leasing Co., Ltd. (ICBCFL) (ICBC Leasing) [State-owned Company]
Recipient
Ethiopia
Sector
Transport and storage (Code: 210)
Flow type
Loan
Level of public liability
Other public sector debt
Infrastructure
No
Category
Project lifecycle
Description
The Industrial and Commercial Bank of China's (ICBC) leasing subsidiary, ICBC Leasing, signed a memorandum of understanding with Ethiopian Airlines on May 4, 2014. The MoU is for $500 million in financial facility including finance leasing, sale-and-lease back, commercial loans, and/or operating leases for aircraft from the ICBC's Boeing order book. Under the MoU, ICBC will assist Ethiopian Airlines in its fleet expansion plans to secure new aircraft, including, but not limited to, B737s and B787s. The fleet expansion is part of Ethiopian Airlines' 15-year strategic plan Vision 2025, which will expand the airline's business into several subcategories: Ethiopian Domestic and Regional Airlines; Ethiopian International Passenger Airlines; Ethiopian Cargo; Ethiopian MRO; Ethiopian Aviation Academy; Ethiopian In-flight Catering Services; and Ethiopian Ground Services. The agreement was signed during a state visit by Chinese Premier Li Keqiang.
Additional details
The transaction amount listed is sourced from a media source citing an anonymous Ethiopian Airlines official as of May 2014. The current status of the loan and its terms is unknown.
Number of official sources
2
Number of total sources
5
Details
Cofinanced
No
Direct receiving agencies [Type]
Ethiopian Airlines [State-owned Company]
Implementing agencies [Type]
Ethiopian Airlines [State-owned Company]