For ICO, risk analysis which includes and considers the indirect impacts of the financing projects does not respond solely to the fiduciary duty conferred by its public nature and its vocation as a Development Entity, but also to the demands of all its stakeholders.
Under this premise, ICO will rigorously analyse all social and environmental risks of operations falling under the "scope" of the Equator Principles, and which will be applied to new financing projects in all countries and all economic sectors.
1. Project Finance Advisory Services where total Project capital costs are US$10 million or more.
2. Project Finance with total Project capital costs of US$10 million or more.
3. Project-Related Corporate Loans* (including Export Finance in the form of Buyer Credit) where all four of the following criteria are met:
i. The majority of the loan is related to a single Project over which the client has Effective Operational Control (either direct or indirect).
ii. The total aggregate loan amount is at least US$100 million.
iii. The EPFI's individual commitment (before syndication or sell down) is at least US$50 million.
iv. The loan tenor is at least two years.
4. Bridge Loans with a tenor of less than two years that are intended to be refinanced by Project Finance or a Project-Related Corporate Loan that is anticipated to meet the relevant criteria described above.
While the Equator Principles are not intended to be applied retroactively, the EPFI will apply them to the expansion or upgrade of an existing Project where changes in scale or scope may create significant environmental and social risks and impacts, or significantly change the nature or degree of an existing impact.
*Project-Related Corporate Loans exclude Export Finance in the form of Supplier Credit (as the client has no Effective Operational Control). Furthermore, Project-Related Corporate Loans exclude other financial instruments that do not finance an underlying Project, such as Asset Finance, acquisition finance, hedging, leasing, letters of credit, general corporate purposes loans, and general working capital expenditures loans used to maintain a company's operations.