-
The Japan Bank for International Cooperation (JBIC; Governor: Tadashi Maeda) signed on June 27 (São Paulo time) a loan agreement totaling up to USD30 million (JBIC portion) with VLI Multimodal S.A. of Brazil. The loan is co-financed with Banco Mizuho do Brasil S.A., bringing the total co-financing amount to approximately USD50 million.
-
Mitsui & Co., Ltd. has made various efforts to help economic development in Brazil in the fields such as hydropower generation, railway passenger transport and food business. This loan is provided to VLI Multimodal, a subsidiary of VLI S.A. for financing the update of facilities on existing freight railway routes. VLI is jointly invested in by Mitsui and Vale S.A. of Brazil and operates freight railway transportation business in the same country.
-
In Brazil, congestion due to high dependence on truck transportation and high logistics costs are becoming issues. Expanding railway transportation plays an important role in the transport of general cargo such as grain, fertilizer, iron raw materials and steel products. This project will increase the carrying capacity on the freight railway routes for which VLI holds the operation rights. In addition to leading to improvements in logistics costs in Brazil, this project will contribute to maintaining and strengthening the international competitiveness of Japanese companies in the logistics infrastructure business.
-
VLI's largest investor Vale has built a strong relationship with Japanese companies across many years as a world-leading supplier of high quality mineral resources including iron, nickel and cobalt. Going forward, Japanese companies are expected to expand and diversify opportunities to collaborate with VALE in such business areas as mining development in Brazil and third countries. This loan is expected to strengthen its relationship with Vale and JBIC, and to contribute to the obtainment of mineral resources by Japanese companies and the creation of opportunities for investment and export by Japanese companies.
- As Japan's policy-based financial institution, JBIC will continue to provide financial support to assist Japanese companies in developing overseas businesses by drawing on its various financial instruments for structuring projects and performing its risk-assuming function.
