Laos Investment Review
The Private Infrastructure Development Group has invested $300,000 in Laos’ first green bond, issued by ride-hailing and electric vehicle charging company LOCA to expand the country’s emerging EV infrastructure.
The green bond raised a total of $997,700 and will finance the development of 15 charging stations equipped with 60 charging guns across Laos.
PIDG made the investment through InfraCo, its project development and investment arm. Its participation helped attract domestic institutional investment through LDB Securities Sole Co. Ltd., a wholly owned subsidiary of Lao Development Bank, one of the country’s major commercial banks.
The transaction represents a milestone for Laos’ relatively small capital market, establishing a potential financing model for other companies seeking to fund climate-related infrastructure using locally raised capital.
Investment Builds on $2.5 Million Financing
The green bond investment follows a $2.5 million convertible loan provided by PIDG to LOCA in 2025. That financing supported the installation of 54 charging stations.
LOCA currently operates 82 charging stations covering all 18 provinces of Laos. The additional stations financed through the bond are expected to strengthen the national network and make electric vehicle ownership more practical outside the country’s largest urban centres.
Laos has set a target for electric vehicles to account for 30% of the country’s vehicle fleet by 2030. Achieving that target is expected to require approximately 500 charging stations nationwide.
The expansion also supports efforts to reduce Laos’ dependence on imported fuel. As a major electricity producer with significant hydropower resources, the country sees electric transportation as an opportunity to use more domestically generated energy while limiting foreign-currency expenditure on petroleum imports.
The Lao government introduced policies in 2023 promoting the wider development of the EV industry, covering vehicle production and supply, batteries, after-sales services and charging infrastructure.
Green Bond Establishes Domestic Market Benchmark
LOCA CEO Souliyo Vongdala said the transaction demonstrates that green financing can be raised within Laos and channelled into infrastructure delivering measurable national benefits.
He said the proceeds would support charging facilities available to EV drivers across the country, helping reduce imported-fuel dependence, retain foreign currency domestically and advance Laos’ climate commitments.
LOCA Co-CEO and Chief Financial Officer Phonepasong Mixab said bringing the country’s first green bond to market required the creation of a framework aligned with international standards, an independent second-party opinion and cooperation among investors, regulators and securities-sector partners.
The transaction received support from PIDG, the Asian Development Bank and participating securities firms. LOCA said it hopes the issuance will establish a benchmark and encourage other Lao businesses to raise sustainable financing through the domestic capital market.
Connor Dawson, head of asset management at InfraCo, said PIDG’s previous engagement with LOCA had increased confidence in the company’s ability to deliver its expansion plans.
He said the investment aligns with PIDG’s mandate to attract private-sector participation into infrastructure and technology supporting climate action, inclusion and market development.
LOCA Targets Fully Electric Mobility
Founded in 2018, LOCA began as Laos’ first ride-hailing platform before expanding into EV charging and financial technology services.
The company has more than 1,000 active drivers, with over 90% operating electric vehicles. It has set a goal of achieving a fully electric ride-hailing fleet by 2030.
Laos’ wider electric vehicle market has expanded rapidly, rising from around 50 vehicles in 2021 to more than 15,000 in 2025, according to LOCA.
The company has previously received ASEAN Business Awards for digital transformation and sustainability, as well as a regional clean-energy technology award for its work in electric mobility.
PIDG is funded by the governments of the United Kingdom, the Netherlands, Switzerland, Australia and Sweden, alongside Global Affairs Canada. Since 2002, the group has committed $6.6 billion to 286 infrastructure projects, mobilising $32.7 billion from private investors and $51.4 billion in overall financing.
