ANNOUNCEMENT 14 Sep 2012In September 2012, the government of Japan announced a change in its trade finance instruments.
NUMBER OF INTERVENTIONS
Japan Bank for International Cooperation, Press Release:
On 14 September 2012, the Japan Bank for International Cooperation (JBIC) agreed with the Indian GAIL Limited to offer a loan to increase production capabilities in certain petrochemical plants. GAIL is a state-owned company that conducts business operations under the jurisdiction of the Indian Ministry of Petroleum and Natural Gas.
The loan amounts to JPY 5.4 billion (USD 54.34 million), of which JPY 3.3 billion (USD 33.21 million) are provided by JBIC and the rest by the Bank of Tokyo-Mitsubishi UFJ, Ltd.
The loan is granted to finance the procurement of plant-related equipment from Japanese companies. The JBIC reports that its 'support for Japanese exports of petrochemical plant-related equipment in this project will contribute to creating business opportunities for Japanese companies, and maintaining and improving the international competitiveness of Japanese firms'.
The JBIC is a public financial institution and export credit agency created on 1 October 1999 through the merger of the Japan Export-Import Bank and the Overseas Economic Cooperation Fund.