- Region: Asia
- Manufacturing and Services
- Mid-tier Enterprises and Small and Medium-Sized Enterprises(SMEs)
July 28, 2011
- The Japan Bank for International Cooperation (JBIC; President & CEO: Hiroshi Watanabe)*1 signed today a memorandum of understanding (MOU) with PT. Bank Negara Indonesia (Persero) Tbk (BNI), a commercial bank in Indonesia, on developing and strengthening a framework for supporting the business operations of small and medium enterprises as well as mid-tier enterprises ("SMEs") through Japanese regional financial institutions.
- This MOU is based on "Development and Strengthening of Support System by Financial Institutions for Small and Medium Enterprises' Entry into Asia through coordination among Japanese regional financial institutions, Japan Bank for International Cooperation (JBIC) and Japan External Trade Organization (JETRO)", a joint press release by the Financial Services Agency, the Ministry of Finance and the Ministry of Economy, Trade and Industry on December 21, 2010*2. Since the above press release was issued, JBIC has been working with the Regional Banks Association of Japan to select foreign financial institutions that may become candidates for forming partnerships with JBIC, while identifying the needs of SMEs for expanding their operations overseas through Japanese regional financial institutions. The signing of the MOU is the outcome of these partnership efforts.
- BNI, a commercial bank established in 1946 in Indonesia, is seeking to expand its lending operations targeting Japanese SMEs which are expected to start business in Indonesia. Under this MOU, JBIC has built a framework for conducting continuous consultation with BNI to support business expansion into Indonesia by the SMEs with which Japanese regional financial institutions have business dealings, including establishment of the Japan desk (a desk exclusively providing services for Japanese firms). JBIC will act as a bridge between BNI and the Japanese regional financial institutions partnering BNI, to support the expansion of business operations in Indonesia by Japanese SMEs. Based on the MOU, JBIC will conduct discussions with individual Japanese regional financial institutions with a view to building a concrete framework.
- Drawing lessons from its efforts made in materializing this MOU, JBIC, in cooperation with Japanese regional financial institutions, intends to actively seek MOUs with other Asian financial institutions, thereby developing and strengthening a framework for supporting Japanese SMEs.
- *1 JBIC is the international wing of the Japan Finance Corporation (JFC; Governor: Shosaku Yasui).
- *2 In a similar approach, JBIC signed on May 30, 2011, an MOU on business cooperation with KASIKORNBANK in Thailand. See Press Release dated May 30, 2011.