Thai Baht Loan for ESCO Business of Japanese Company in Thailand
Supporting Overseas Business Expansion of Japanese Companies through Local Currency Denominated Financing under the Growth Investment Facility

• Region: Asia
• Environment
• Manufacturing and Services
• Overseas Investment Loans

1. The Japan Bank for International Cooperation (JBIC, Governor: MAEDA Tadashi) signed today a loan agreement amounting up to THB180 million (JBIC portion) with WEST International (Thailand) Co., Ltd., a Thai subsidiary of West Holdings Corporation (West). The loan is co-financed with a private financial institution, bringing the total co-financing amount to THB300 million. The loan is extended under JBIC's Growth Investment Facility^*1/QI-ESG Window. 
     
2. This loan is intended to provide the necessary funds for WIT to expand its ESCO business^*2 mainly for Japanese affiliates in Thailand, with funds assigned to cover the costs of installing solar power generation systems.
     
3. In 2014, West entered the ESCO business and in 2016, it established WIT as their first overseas subsidiary in Thailand, a country where many Japanese companies are entering the market. WIT is promoting the installation of solar power generation systems for Japanese affiliates in Thailand. This loan is intended to support West's overseas business expansion, and thus contributes to maintaining and improving the international competitiveness of Japanese industries, as well as to the preservation of the global environment through utilizing the renewable energy.
     
4. As Japan's policy-based financial institution, JBIC will continue to support the overseas business development of Japanese companies by drawing on its various financial facilities and schemes for structuring projects, including local currency loans, and performing its risk-assuming function.
     

Note

1. *1 
   See Announcement on January 31, 2020.
2. *2 
   ESCO: Energy Service Company. A business model in which comprehensive service related to energy saving is provided to the customer, and a portion of the energy saving effect is received as remuneration.