The Japan Bank for International Cooperation (JBIC; Governor: MAEDA Tadashi) signed on July 7 a loan agreement amounting to up to USD500 million, of which JBIC's portion is USD250 million, with Saudi Electricity Company (SEC). The loan is co-financed with MUFG Bank, Ltd., The Bank of Yokohama, Ltd., The Joyo Bank, Ltd., The Nanto Bank, Ltd., THE NISHI-NIPPON CITY BANK, LTD., The Hachijuni Bank, Ltd., and the San-in Godo Bank, Ltd. JBIC will also provide a guarantee for part of the portion co-financed by the private financial institutions.
The Government of Saudi Arabia is planning to modernize and diversify its economy under its national development strategy, Saudi Vision 2030. Under this vision, Saudi Arabia is promoting projects that contribute toward the growth of renewable energy, energy efficiency, and more. As a vertically integrated electric utility that generates, transmits, and distributes electricity throughout Saudi Arabia, SEC is enhancing transmission and distribution networks for a stable supply of power sources from renewable energy for consumers, in line with the Government policy to promote renewable energy. Through this loan, JBIC supports the efforts of the Government of Saudi Arabia and SEC that contribute toward global environmental preservation.