Export loans 

• To overseas (mostly emerging market) importers and financial institutions to finance exports of Japanese machinery, equipment, and technology
• In developed countries, export loans are limited to eligible sectors: Integrated infrastructure system projects, ships, satellites, aircraft, and medical positron beam therapy equipment
• Direct loans provided to foreign importers are buyer credits
• Direct loans provided to foreign banks are bank-to-bank loans
• Terms:
  - Repayment tenor according to OECD arrangement
  - Equal semi-annual installments 
• Risk premium:
  - OECD arrangement
  - OECD consensus on risk premium
  - Country risk classification for country risk premium 
• Security: Assessed based on borrower’s credit profile
• Interest rate:
  - CIRR is calculated at the time of commitment
  - When interest rate is fixed at time of tender, CIRR + 0.2% 

Import loans 

• Loans for the development and import of energy resources, including oil and LNG, and mineral resources, including iron ore, copper, and other rare materials; these are also referred to as energy and natural resource financing
• Guarantees for goods and services essential to development of the Japanese economy (e.g., import of aircraft)
• Coverage:
  - For loans: Up to the amount of imported services
  - For guarantees: 80% of funds required for importing goods
• Terms:
  - For loans: Repayment in installments with tenor on a case-by-case basis
  - For guarantees: Up to 15 years from time of import
• Security:  
  - For loans: Case-by-case basis
  - For guarantees: Security over imported product
• Interest rate:
  - Linked to JBIC’s cost of funds

Overseas investment loans 

• Provided in support of Japanese companies’ foreign direct investments
• Proceeds are intended for:
  - SMEs
  - Projects aimed at developing or securing interests in overseas resources
  - Projects to assist with mergers and acquisitions
• Eligible sectors in developed countries:
  - Railways
  - Water
  - Renewable and nuclear energy power generation
  - Transmission and distribution, smart grid
  - Highly efficient gas-fired and coal-fired power generation
  - Coal gasification
  - Carbon capture and storage
  - Telecommunications network development
  - Biomass fuel production
  - Aircraft maintenance and sales
  - Mergers and acquisition activities
• Coverage: Should not exceed the value of the contract associated with overseas investment; this is usually up to a specified percentage of financial needs, provided in conjunction with private financial institutions
• Terms:
  - 1 to 10 years
  - Flexible installment payments to fit investment profile 
• Security: Case-by-case basis
• Interest rate:
  - Loans in JPY carry fixed interest rates
  - Loans in USD or EUR typically have floating interest rates

Untied loans 

• Provided to developing countries to implement projects and import goods, level their international balance of trade, or stabilize their currency
• Untied loans are not conditional on procurement of equipment and materials from Japan
• Eligibility requirements:
  - Sustain and expand trade and investment from Japan
  - Secure access to stable supplies of energy and mineral resources for Japan
  - Promote Japanese business activities
  - Preserve global environment
  - Maintain international financial order

Equity participations  

• Capital contributions to companies in which Japanese companies have equity stakes, that were set up by Japanese companies, and for the purpose of undertaking overseas projects and funds where Japanese companies perform a significant role
• Country eligibility:
  - Developing countries, and most business sectors
  - Developed countries limited to projects contributing to overseas development and acquisition of resources of strategic importance for Japan, and for maintenance and improvement of Japanese international competitiveness in specified sectors
  - Exit strategy agreed before investment made  
• Coverage:
  - 50% or less of the total investment
  - JBIC is prohibited from being the largest shareholder among Japanese investors

Guarantees 

• JBIC extends guarantees to specific financing situations:
  - Loan guarantees that finance the import of aircraft and other manufactured products that are important for Japan
  - Bond guarantees to Japanese affiliates operating overseas for bonds issued in local capital markets
  - Loan guarantees to Japanese private financial institutions to provide medium- and long-term financing for developing countries, support developing countries in bringing in private capital, and facilitate private companies expanding international business activities
  - Currency swap guarantees to support the local currency financing of overseas infrastructure projects undertaken by Japanese companies
  - Co-financing with other ECAs for equipment 

Bridge loans

• Provides short-term financing for governments of developing countries to meet their foreign currency needs for external transactions when they face balance-of-payment difficulties

Research and studies

• JBIC conducts research and studies on individual projects during their initial stage, as well as on specific regions or industry sectors that may have a bearing on specific projects beneficial to Japan
• After the research and studies are completed, follow-up reviews are conducted at least once each year to confirm the progress of the project

Securitization 

• Guarantees: Where special purpose companies or trust companies issue asset-backed securities or other financial products with loans or other assets as collateral, JBIC guarantees the payment of such asset-backed securities to reduce country and structure risks
• Acquisition of securities: JBIC supports bond issuances by acquiring a portion of the asset-backed securities issued by SPCs or trust companies with loans or other assets as collateral
• Receivables:
  - Guarantees for the receivables and other monetary claims held by overseas subsidiaries of Japanese companies to facilitate the purchase of such receivables by banks
  - Guarantees for securities issued by SPCs or trust companies to secure monetary claims acquired from overseas Japanese subsidiaries