Loan for Automobile Manufacturing and Sales Business of Japanese Company in the Philippines
Supporting Overseas Business Expansion of Japanese Automobile Manufacturer under the Growth Investment Facility
- Region: Asia
- Manufacturing and Services
- Overseas Investment Loans
The Japan Bank for International Cooperation (JBIC, Governor: MAEDA Tadashi) signed on today a loan agreement amounting up to USD110 million (JBIC portion) with Mitsubishi Motors Philippines Corporation (MMPC), a Philippine subsidiary of Mitsubishi Motors Corporation (Mitsubishi Motors), under JBIC's Growth Investment Facility*1
. The loan is co-financed with private financial institutions, bringing the total co-financing amount to approximately USD187 million.
The loan is intended to provide the necessary funds for MMPC to manufacture and sell automobiles in the Republic of the Philippines.
Mitsubishi Motors, in its Mid-Term Business Plan (2020-2022), aims to concentrate its management resources on the ASEAN region, where it is competitive, and maintain/grow market share by enhancing its sales network and production capacity as well as product development in the region. This loan is intended to support Mitsubishi Motors' overseas business in the Philippines, which is strategically important in the ASEAN region for the company, contributing to maintaining and improving the international competitiveness of the Japanese automobile industry.
As Japan's policy-based financial institution, JBIC will continue to support the overseas business expansion of Japanese companies by drawing on its various financial facilities and schemes for structuring projects and by performing its risk-assuming function.