- Region: Asia
- Manufacturing and Services
- Mid-tier Enterprises and Small and Medium-Sized Enterprises(SMEs)
- Overseas Investment Loans
May 11, 2015
The Japan Bank for International Cooperation (JBIC; Governor, CEO: Hiroshi Watanabe) signed an agreement*1 in the amount of up to about USD461 thousand (JBIC portion) based on a credit line*2 for supporting the overseas business deployment of Japanese mid-tier enterprises and small and medium-sized enterprises (SMEs) already signed with Bangkok Mitsubishi UFJ Lease Co., Ltd. (BMUL), a Thai subsidiary of Mitsubishi UFJ Lease & Finance Company Limited (MUL). The loan is cofinanced with a private financial institution, bringing the total cofinancing amount to about USD678 thousand.
The individual loan agreement signed under this credit line will secure funding from BMUL in lease financing the facilities required to conduct the manufacturing and sales business of automobile parts by HAL ALUMINUM (THAILAND) CO., LTD., a Thai subsidiary of HIROSHIMA ALUMINUM INDUSTRY CO., LTD. (headquarters: Hiroshima Prefecture).
In recent years, against the background of robust economic growth in Thailand, Japanese companies have been accelerating their business expansion, with mid-tier enterprises and SMEs showing growing intentions to invest in the country. Accordingly, there is increasing interest and needs for utilizing finance leases, as Japanese mid-tier enterprises and SMEs make capital investments. The loan under the credit line will provide long-term foreign currency funds flexibly for finance leases required by business operations of mid-tier enterprises and SMEs conducted in Thailand and other countries, and thus support the overseas business deployment of Japanese mid-tier enterprises and SMEs. Thereby, this will contribute to maintaining and strengthening the international competitiveness of Japanese industries.
As Japan's policy-based financial institution, JBIC will continue to support the overseas business deployment of Japanese mid-tier enterprises and SMEs, with a view to maintaining and strengthening the international competitiveness of Japanese industries.
- *1 Although the loan agreement was already concluded on April 28, 2015, the press release was issued today.
- *2 See Press Release on April 1, 2014.