Strengthening the supply chain (supply network) has become an important issue due to the impact of geopolitical risks.
The government is planning to review the system so that the government-affiliated financial institution "Japan Bank for International Cooperation" will be able to lend to foreign companies that support the supply chain of Japanese companies.
The government plans to strengthen the functions of the "Japan Bank for International Cooperation" in light of the changing international situation surrounding the Japanese economy due to rising geopolitical risks such as Russia's invasion of Ukraine and the situation in Taiwan.
The Japan Bank for International Cooperation invests and lends the funds necessary for Japanese companies to expand their business overseas, but until now, in principle, foreign companies have not been eligible for investment or loans. .
In addition, we will make it possible to provide loans to foreign companies that support the supply chains of Japanese companies, or supply networks, and industrial bases, thereby supporting the diversification of procurement sources for goods.
In addition, cases where Japanese companies take over important goods overseas will be added to the so-called "import finance" that provides loans to Japanese companies involved in the import of important goods such as energy resources.
The government hopes to strengthen economic security through the use of government-affiliated financial institutions, and will submit the necessary revisions to the law to the current ordinary session of the Diet.