Beijing, People's Republic of China (6 December 2024 News Release) — The Asian Development Bank (ADB) signed a USD 200 million (RMB-equivalent) financing package with China Education Group Holdings Limited (CEG) and Yantai Institute of Science and Technology (YIST) to enhance the quality and relevance of higher vocational education in the People's Republic of China (PRC) by integrating climate-resilient infrastructure and advancing gender equality.
The financing comprises a USD 100 million loan from ADB and an additional USD 100 million mobilized from cofinancing partners, including the Asian Infrastructure Investment Bank (AIIB), China Minsheng Banking Corp., Ltd. Yantai Branch (CMBC), and Bank SinoPac (China) Co., Ltd. Chengdu Branch (SinoPac). CMBC and SinoPac participated through complementary syndicated loans arranged by ADB for YIST—an onshore local currency cofinancing product that offers flexible tenors and mitigates exchange rate risks. CEG will use the funds to extend its short-term debt maturity and support YIST in developing a climate-resilient campus in Yantai Economic and Technological Development Zone.
Upon completion, the new facilities will enable YIST to expand its curriculum to meet labor market demands in aging-care and green economy sectors, including medical services, robotics engineering, automation, and smart manufacturing. A comprehensive gender action plan will also be implemented, promoting gender diversity and inclusion policies across all CEG-affiliated institutions in China and enhancing faculty training.
"By investing in climate-resilient infrastructure and gender-inclusive education, we are helping build a more sustainable future for the next generation," said Suzanne Gaboury, Director General of ADB's Private Sector Operations Department. "This marks ADB’s largest investment in private education, underscoring our commitment to nurturing a new generation of skilled workers for emerging industries and driving high-quality, sustainable development."
Driven by the "education-first" philosophy and a competitive job market, China's education sector has grown rapidly in recent decades. However, a skills mismatch persists between graduates and labor market needs. By focusing on vocational education and climate-adaptive infrastructure, this project supports China’s transition toward a high-quality, green economy.
"This transformative project will expand our educational services, providing students with a world-class learning environment that meets the highest sustainability and inclusivity standards," said Yu Kai, Chief Executive Officer of CEG. "As a leader in vocational education, we are proud that YIST’s new campus has achieved China’s 2-Star Green Building Certification."
CEG is a leading vocational education provider dedicated to cultivating high-skilled talent and strengthening vocational institutions' core competencies. The group focuses on developing "dual-qualified" faculty, establishing open regional industry-education integration centers, creating diverse student development pathways, and fostering international collaboration.
ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific while sustaining efforts to eradicate extreme poverty. Established in 1966, ADB has 69 members, including 49 from the region.
