Individual Agreement Related to the Export of Mining Equipment
Supporting exports by Japanese companies by utilization of an export credit line
- Area: Asia
- Machinery and Equipment
JBIC concluded a loan agreement based on a credit line extended to the government of Mongolia in June 2013. The loan is intended to provide, through the Ministry of Finance of Mongolia, the necessary funds for Khishig Arvin Industrial LLC, a Mongolian company, to purchase from SUMITOMO CORPORATION mining machinery made by Komatsu Ltd. and related services.
The governments of Japan and Mongolia signed the "Agreement between Japan and Mongolia for an Economic Partnership" in February 2015, which is expected to further vitalize the two countries' economies in a wide range of fields and facilitate trade and investment between the two countries. In addition, the "ERCH Initiative Plus" *1 was agreed by the two countries' leaders to promote financing utilizing this credit line in accordance with measures in both countries.
- *1ERCH Initiative Plus: "The ERCH Initiative" is aimed at promoting economic relations between Japan and Mongolia consisting of two pillars: (1) the development of an investment environment and (2) cooperation for sustainable economic development, as proposed by Japanese Prime Minister Shinzo Abe on his visit to Mongolia in March 2013. As a supplement to the ERCH Initiative, during the visit of Mongolian President Tsakhiagiin Elbegdorj in July 2014, "ERCH Initiative Plus" was proposed by Prime Minister Abe for the promotion of Mongolian exports and industrial diversification that was agreed on by both leaders.