Bank-to-Bank Loan to Yapı Kredi of Turkey for Ship Export : Supporting Export of Bulk Carrier Built by Japanese Shipbuilder

The Japan Bank for International Cooperation (JBIC; Governor: HAYASHI Nobumitsu) signed on March 30 a bank-to-bank loan agreement amounting up to approximately EUR13 million (JBIC portion) with Yapı Kredi of Turkey to finance the purchase of a bulk carrier. The loan is co-financed with ING Bank N.V. Tokyo Branch bringing the total co-financing amount to approximately EUR26 million. Nippon Export and Investment Insurance (NEXI) will provide the insurance for the loan by the private financial institution.

The loan is intended to provide, by way of Turkish commercial bank Yapı Kredi, the funds necessary for the Kastamonu Entegre Ağaç Sanayi ve Ticaret A.Ş. Group, a Turkish wooden product manufacturer and seller, to purchase a 38,930-dwt bulk carrier built by Oshima Shipbuilding Co., Ltd. from Sumisho Marine Co., Ltd.

This loan is intended to support the export of the ship by the Japanese shipbuilder, which plays a major role in the regional economy and associated industries that involve mid-tier enterprises and small and medium-sized enterprises. The loan thus contributes toward maintaining and improving the international competitiveness of the Japanese shipbuilding industry.

As Japan's policy-based financial institution, JBIC, in collaboration with the Shipbuilders' Association of Japan, will continue to provide financial support for the export of ships built by Japanese shipbuilders, by utilizing its various financial instruments for structuring projects and performing its risk-assuming function.