Panel discussion by JBIC
The Japan Bank for International Cooperation (JBIC), in collaboration with the Long-Term Investors Club (LTIC) and Development Bank of Japan Inc. (DBJ), hosted the annual LTIC Steering Committee Meeting and the D20 Conference in Tokyo on April 26, 2019.
Emphasizing importance of lending and investment activity based on a long-term perspective towards sustainable economic growth, major European development financial institutions created the LTIC in 2009, with the aim of sharing best practices among LTIC members and promoting research about long-term lending and investment businesses. JBIC and DBJ are Japanese members of the LTIC.
The LTIC's annual Steering Committee Meeting is joined by member institutions in the country hosting G20. They discuss the latest issues related to long-term lending and investment for stable economic growth, and also seek solutions. The D20 Conference (D stands for a DFI, Development Finance Institution) takes place at the same time as the annual LTIC Steering Committee Meeting. At the Conference, participants share information about various issues related to long-term lending and investment among D20/LTIC members and exchange their opinions and views.
This year's D20 Conference participants discussed financing for sustainable infrastructure development and reduction in social costs. They exchanged their opinions through keynote speeches and panel discussions.
Tadashi Maeda, Governor of JBIC, delivered a keynote speech titled "Social Cost Reduction and Project Bankability." He highlighted the importance of engaging in long-term lending and investment to reduce social costs in developed countries, such as soaring medical expenses driven by an aging population and low birthrate, and maintenance costs for deteriorating infrastructure. He also emphasized the increase in bankability by proactively supporting infrastructure projects, such as using advanced technology in the electricity sector.
The panel discussion session was moderated by Kazuhisa Yumikura, Managing Executive Officer of JBIC, and was titled "Technological Innovation in the Renewable Energy Sector and the Role of Finance." It was attended by panelists with a high level of industry expertise, including: Mr. Hidenori Saito, General Manager of the Renewable Power Project Development Department, Toyota Tsusho Corporation; Mr. Rajeev Kannan, Executive Officer and Head of Investment Banking Asia & Pacific, Sumitomo Mitsui Banking Corporation; and Ms. Maria Shaw-Barragan, Director of Global Partners Department, European Investment Bank. The panelists discussed the trends in the renewable energy sector, such as integration of energy and mobility systems, as well as their roles in financing projects in the sector.
The D20 Conference attracted more than 150 participants from non-LTIC members, including financial institutions inside and outside Japan as well as Japanese trading companies and manufacturers. During the Conference meeting, they showed great interest in the various issues and challenges of long-term investment.
JBIC will continue to provide financing to address social issues such as infrastructure development or reduction in social costs while strengthening the partnership with its stakeholders inside and outside Japan through these seminars.