Loan for Automobile Sales Finance Business in Canada
Supporting Overseas Business Deployment of Japanese Automobile Industry with Local Currency Loans
- Region: North America
- Manufacturing and Services
- Overseas Investment Loans
The Japan Bank for International Cooperation (JBIC; Governor: MAEDA Tadashi) signed today a loan agreement in Canadian dollars (CAD) with Toyota Credit Canada Inc. (TCCI), a Canadian group company of Toyota Financial Services Corporation (TFS). The loan is co-financed with private financial institutions.
The loan is intended to finance part of the funds necessary for TCCI to conduct the sales finance business mainly for Toyota brand automobiles in Canada, following a loan in April 2021*1
Canada is one of the world's leading automotive markets, and continues to be crucial for Toyota Motor Corporation and other Japanese automakers that maintain a strong presence in the country. As automobile sales finance is often used when purchasing a vehicle in Canada, the sales finance business has become an important strategy for manufacturers to increase their sales. This local currency denominated loan supports the overseas business deployment of one such Japanese automaker, thereby contributing toward maintaining and strengthening the international competitiveness of the Japanese automobile industry.
As Japan's policy-based financial institution, JBIC will continue to support the overseas business deployment of Japanese companies by drawing on its various financial facilities, including loans to meet the need for funds in local currencies, as well as schemes for structuring projects and performing its risk-assuming function.