ICTSI borrows $300 million for greening efforts

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May 21, 2026 | 12:00am

MANILA, Philippines — Logistics giant International Container Terminal Services Inc. (ICTSI) is borrowing up to $300 million from Beijing-based multilateral Asian Infrastructure Investment Bank (AIIB) to finance its greening efforts.

ICTSI yesterday said it has signed a $300-million loan with AIIB to support the expansion of its container terminals in Luzon and Mindanao.

The facility extended to ICTSI comes in the form of a senior unsecured corporate loan, marking AIIB’s maiden transaction in the Philippines without the government acting as a guarantor.

ICTSI will use the proceeds of the loan to fund the technological upgrades of its flagship project Manila International Container Terminal (MICT). Likewise, ICTSI will fund the greening efforts for the South Luzon Container Terminal (SLCT) and Mindanao Container Terminal (MCT).

The company will invest on new technologies to increase the throughput capacity of the projects. In particular, ICTSI will spend part of the proceeds to buy fully electric quay cranes and replace its diesel-powered yard equipment.

These assets are expected to reduce ICTSI’s carbon emission by building up cost efficiency and minimizing reliance on gas.

The upgrades will also raise MICT’s capacity to 3.7 million twenty-foot equivalent units by 2027, MCT to one million TEUs by 2028 and SLCT to 800,000 TEUs by 2028.

ICTSI chairman and president Enrique Razon Jr. said the loan obtained from AIIB would support his company in expanding its economic contributions and sustainability measures.

AIIB chairman and president Zou Jiayi said the lender would be searching for more opportunities similar to the one signed with ICTSI in its second decade. Further, she wants the AIIB to finance private partners in their sustainability push.

“This transaction demonstrates how AIIB can support infrastructure development by deploying innovative financing instruments and working closely with global operators who have scale and execution capacity to deliver impact for the people we serve. We look forward to deepening this strategic partnership,” Zou said.

AIIB, based in Beijing, China, has expanded its reach since it was founded in 2016, with its membership rising to 111 countries worldwide and its capitalization breaching the $100-billion mark.

ICTSI, on the other hand, is one of the world’s largest port operators in the 50,000 to 3.5 million TEU annual range, with projects spanning six continents.