- Region: Asia
- Manufacturing and Services
- Mid-tier Enterprises and Small and Medium-Sized Enterprises(SMEs)
- Overseas Investment Loans
July 15, 2015
The Japan Bank for International Cooperation (JBIC; Governor, CEO: Hiroshi Watanabe) signed today an agreement in the amount of up to about USD9,323 thousand (JBIC portion) based on a credit line*1 for supporting the overseas business deployment of Japanese mid-tier enterprises and small and medium-sized enterprises (SMEs) already signed with PT. Mitsubishi UFJ Lease & Finance Indonesia (MULI), an Indonesian 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 USD13,319 thousand.
The individual loan agreement signed under this credit line will secure funding from MULI in lease financing for the facilities required to conduct the manufacturing and sales business of automobile parts by PT. SANGO INDONESIA, an Indonesian subsidiary of SANGO Co., Ltd. (headquarters: Aichi Prefecture).
In recent years, against the background of robust economic growth in Indonesia, 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 need to utilize financing 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 the business operations of mid-tier enterprises and SMEs conducted in Indonesia 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.