IMPLEMENTATION LEVEL

NFI

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: 17 Oct 2014 | Removal date: open ended
Still in force

Trade finance

The buyer's credit agreement between JBIC and State Bank for Foreign Economic Affairs of Turkmenistan was signed on 17 October 2014 and has a total maximum value of USD 696 million.

Additionally, the loan is co-financed by a number of private financial institutions amounting to an approximate value of USD 1.16 billion. The governmental agency Nippon Export and Investment Insurance will provide an insurance for the co-financed portion.

The loan finances the purchase of chemical fertiliser plant facilities by the state-owned petrochemical company Turkmenhimiya from Japanese Mitsubishi Corporation, among others. The facilities will be used in connection with the construction of a chemical fertiliser production plant in Turkmenistan.

In this context, JBIC stated: "... JBIC's support with this loan for the export of a chemical fertilizer plant by a Japanese company will lead to creating business opportunities for Japanese companies in this sector in Turkmenistan, thereby contributing to maintaining and strengthening the international competitiveness of Japanese industries."

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

439 Other general-purpose machinery & parts
8419 Machinery, plant or laboratory equipment, whether or not electrically heated (excluding furnaces, ovens and other equipment of heading 85.14), for the treatment of materials by a process involving a change of temperature such as heating, cooking, roasting
841940 Distilling or rectifying plant
841950 Heat exchange units
841960 Machinery for liquefying air or other gases
841990 Parts
448 Domestic appliances & parts
8419 Machinery, plant or laboratory equipment, whether or not electrically heated (excluding furnaces, ovens and other equipment of heading 85.14), for the treatment of materials by a process involving a change of temperature such as heating, cooking, roasting
841911 Instantaneous gas water heaters
841919 Other
541 General construction services of buildings

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