- Region: Asia
- Manufacturing and Services
- Mid-tier Enterprises and Small and Medium-Sized Enterprises(SMEs)
- Overseas Investment Loans
March 13, 2015
The Japan Bank for International Cooperation (JBIC; Governor: Hiroshi Watanabe) signed on March 12 a general agreement for setting up a credit line totaling up to USD35 million (JBIC portion) with Bank of Ayudhya Public Company Limited (Krungsri), a Thai subsidiary of The Bank of Tokyo-Mitsubishi UFJ, Ltd. for supporting overseas business deployment of Japanese mid-tier enterprises and small- and medium-sized enterprises (collectively "SMEs").
In this credit line, JBIC is intended to provide medium- and long-term funds to Krungsri when the bank provides loans for local Thai subsidiaries of Japanese SMEs.
In recent years, against the backdrop of Thailand's economic growth, Japanese SMEs have been accelerating their business expansion and increasing willingness for investment. In line with these developments, there is growing demand for medium- and long-term funds for the business conducted by Japanese SMEs in that country. Given these circumstances, JBIC intends to provide appropriate and speedy support to the business deployment of these SMEs in Thailand by extending medium- and long-term funds to Krungsri in collaboration with this company which has a broad range of business relations with Japanese SMEs.
As Japan's policy-based financial institution, JBIC will continue to support the overseas business deployment of Japanese companies, including SMEs, by drawing on its various financial facilities and schemes for structuring projects, and performing its risk-assuming function.