All of us are well aware that a few governments in Asia hold the fate of shipbuilding and thus the orderbooks in their hands. China and South Korea’s strong support for the shipyards comes as no surprise as governments tend to bolster industries of national importance. Support from the Japanese government for its shipbuilding industry has been rather muted. The Japan Bank for International Cooperation (“JBIC”) – the merged entity of Export-Import Bank of Japan and the Overseas Economic Cooperation Fund Japan for instance has not provided any export loans for the shipping sector in their fiscal year 2008. But this has changed.
Marine Net reported last week that JBIC has agreed to provided Turkish Bank, Turkiye Is Bankasi (“Isbank”), an export credit line of JPY 10 billion (USD 111 million) with the objective to assist Turkish shipowners in the financing of their newbuildings at the Japanese shipyards. This will be JBIC’s first export credit facility dedicated for the shipping industry. JBIC currently provides direct loans to foreign importers and financial institutions in the form of buyer’s credit (B/C) and bank-to-bank loan (B/L) to facilitate the financing of the imports from Japanese machinery and equipment manufacturers.
This is only an excerpt of JBIC Beefs Up Export Credit Support For Shipping
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Tags: · ECAs, export credit agencies, Isbank, Japan Bank for International Cooperation, JBIC, KDB, Korea Develop, Mitsui & Co, OECD, Organisation for Economic Cooperation Development, Turkiye Is Bankasi, Yasa Shipping
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