Vientiane – The Private Infrastructure Development Group, through its project development solution, InfraCo, has invested USD 300,000 in Laos’ first green bond issued by LOCA. LOCA is Laos’ largest ride-hailing and electric vehicle (EV) charging service provider. PIDG’s participation has supported local market participation by LDB Securities Sole Co. Ltd., a wholly owned subsidiary of Lao Development Bank (LDB), a major commercial bank in the country. The USD 997,700 bond will fund the development of 15 stations (60 charging guns) nation-wide.
PIDG’s investment builds on a USD 2.5 million convertible loan provided to LOCA in 2025 to install 54 charging stations, bringing LOCA’s current charging station numbers to a total of 82, covering all 18 provinces of Laos. This contributes to the Lao government’s national target of achieving 30 per cent EV adoption by 2030[1], which is to be supported by c. 500 charging stations across the country[2].
Driven by a need to reduce their dependence on fossil fuels and an abundance of untapped electricity generation resources[3], the Laos government rolled out policies in 2023 which promoted the development of the EV industry in Laos including production, supply, batteries, post-purchase services and EV charging stations.
Connor Dawson, Head of Asset Management – InfraCo at PIDG, said:
“Our engagement with LOCA till date has instilled confidence in their ability to deliver and we are very appreciative of the work ethic, strategic approach and ‘can do’ attitude that the LOCA founders and team bring to this company. Supporting them in the next step of their growth through an investment in Laos’ first green bond directly supports our mandate to catalyse private sector participation and market development in ventures and technology that address climate action and inclusion.”
Souliyo Vongdala, CEO of LOCA, said:
“This bond is proof that green finance works in Laos. The capital we raised at home will go straight into charging infrastructure that every EV driver in the country can use — creating real impact for our nation: less dependency on imported fuel, foreign currency kept at home, and concrete progress on our climate commitments. We hope it is the first of many green issuances in our market.”
Phonepasong Mixab, Co-CEO & CFO of LOCA, said:
“Bringing the first green bond in the Lao PDR to market meant building the road as we travelled it — a framework aligned with international standards, an independent second-party opinion, and investors willing to lead the way. We are deeply grateful to PIDG, ADB, our securities partners, and the regulators for their trust and hard work. This transaction sets a benchmark for what Lao companies can achieve in our own capital market, and we hope it gives other issuers the confidence to follow.”
PIDG is funded by the governments of the United Kingdom, the Netherlands, Switzerland, Australia and Sweden, and Global Affairs Canada.
The transaction supports SDG 9: Industry, innovation and infrastructure through facilitating sustainable and resilient infrastructure development through advanced financial support.
[1] Government to Expand Strategic Fuel Reserves, Target 30 Percent EV Adoption by 2030 (2026), https://kpl.gov.la/En/detail.aspx/detail.aspx?id=102017
[2] Nilaxay, B. (2023, May 24-25). Laos: Transitioning to electric mobility in Lao PDR [Conference presentation]. Regional Meeting on Accelerating the Transition to Electric Mobility for Public Transport in Asia and the Pacific, Manila, Philippines. United Nations Economic and Social Commission for Asia and the Pacific. https://www.unescap.org/sites/default/d8files/event-documents/May24-25_Session%202-Laos.pdf
[3] Laos encourages use of electric vehicles (2023), https://kpl.gov.la/EN/detail.aspx?id=76903
