Japan's Eximbank, Daiwa lend to RI<\/p>\n
TOKYO (AFP): The Export-Import Bank of Japan and Daiwa Bank
\nLtd. will extend US$50 million in low-interest loans to small-
\nand medium-sized Japanese ventures in Indonesia, an Eximbank
\nspokesman said yesterday.<\/p>\n
The spokesman said the arrangement between the two banks was
\nthe first of its type and could serve as a model for future
\ncooperation with other Japanese banks operating in developing
\ncountries.<\/p>\n
Under the arrangement, Daiwa's two affiliates in Indonesia --
\nPT Bank Perdania and PT Daiwa Lippo Leasing Corp. -- will borrow
\nthe funds from the Eximbank at 0.25 percentage points below the
\nLondon Interbank Offer Rate (Libor). The three-month Libor rate
\nis currently around 6.375 percent.<\/p>\n
Bank Perdania and Daiwa Lippo Leasing will then onlend the
\nfunds at rates between 1.5 points and two points above the
\nSingapore Interbank Offer Rate (Sibor), but still about one point
\nlower than its usual lending rates.<\/p>\n
The spokesman said Daiwa would determine which companies could
\nborrow the funds and would also be responsible for credit
\nanalysis.<\/p>\n
While the government-owned bank has had similar arrangements
\nin the past with local banks in developing countries, the tie-up
\nwith the Daiwa affiliates is the first such arrangement with a
\nJapanese bank.<\/p>\n
Indonesia is already the biggest single recipient of Japan's
\nofficial development assistance. Indonesia is also the main
\ninvestment destination in Asia for Japanese companies on a
\ncumulative basis.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/japans-eximbank-daiwa-lend-to-ri-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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