ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Finance

JBIC, SMBC to help boost financing in Asia's power plants

Overseas infrastructure projects to come within easy reach of Japan's regional banks

TOKYO -- The Japan Bank of International Cooperation and Sumitomo Mitsui Banking Corp. will make it easier for smaller domestic lenders to finance power infrastructure projects in Asia, as Japan looks to boost infrastructure exports and hopes to make efficient use of regional funds.

The regional banks will be able to take part in the financing through a trust account of JBIC's loans established by SMBC, part of Sumitomo Mitsui Financial Group. Having JBIC as the direct lender to infrastructure businesses reduces risks for smaller regional banks, as JBIC is responsible for capital recovery, and loan periods are shorter. Typically such projects span more than 10 years.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more