IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Outflow (subsidised)

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

firm-specific

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 10 Mar 2017 | Removal date: open ended
Still in force

Trade finance

The buyer’s credit loan agreement between JBIC and the Indonesian state-owned company PT PLN (Persero) (PLN) has a maximum value of JPY 9.2 billion (USD 80.15 million) and USD 22 million. Additionally, the loan is cofinanced by a number of private financial institutions amounting to a maximum JPY 15.4 billion (USD 134.17 million) and USD 37 million. The governmental agency Nippon Export and Investment Insurance will provide an insurance for the cofinanced portion.

The loan finances the Indonesian company's purchase of certain power generation equipment, including gas and steam turbine from Japanese MITSUBISHI HITACHI POWER SYSTEMS, LTD as well as power generator from Japanese Mitsubishi Corporation and other entities.

In this context, the Bank stated: "Through JBIC's support for the export of power generation equipment by Japanese companies, this loan will contribute to maintaining and strengthening the international competitiveness of Japanese industries, and, at the same time, it is expected to support Indonesia's economic development by realizing steady power supply."

Buyer's credit agreements
JBIC provides direct loans named buyer’s credit to overseas importers. Loans are obtained if it finances the purchase of Japanese machinery, equipment or technology in specific eligible sectors. The Bank hereto stated that these loans are intended to “positively contribute to Japanese companies”. Further information can be found on the Bank’s website under export loans.
 
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets and from foreign subsidiaries.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

431 Engines & turbines & parts
8406 Steam turbines and other vapour turbines.
840681 Of an output exceeding 40 MW
840682 Of an output not exceeding 40 MW
8411 Turbojets, turbopropellers and other gas turbines.
841111 Of a thrust not exceeding 25 kN
841112 Of a thrust exceeding 25 kN
841181 Of a power not exceeding 5,000 kW
841182 Of a power exceeding 5,000 kW
841191 Of turbojets or turbopropellers
841199 Other

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