JBIC, others to lend USD 50m for Philippine renewables

The Japan Bank for International Cooperation (JBIC) and other private financial institutions will lend up to USD 50 million (EUR 45.4m) for renewable energy projects in the Philippines.

JBIC announced in a statement on Wednesday that it will sanction a loan of USD 25 million as part of a new credit facility, to be established with Philippine-based BDO Unibank Inc. The Japanese financial institution will also be providing partial guarantee for the portion that is to be co-financed by other lenders, the names of which were not revealed.

BDO Unibank will allocate the funds for environment-related projects which contribute to reducing greenhouse gas (GHG) emissions, with a focus on renewable energy. This will be the first time for JBIC to provide a loan to the Philippines under the financial instrument for global environmental preservation known as Global action for Reconciling Economic growth and ENvironmental preservation (GREEN).

The loan will help advance the Philippine government's target of reducing GHG emissions by 70% by 2030. It will also strengthen JBIC and BDO Unibank’s commitment to support the business expansion of Japanese mid-tier enterprises and small and medium-sized enterprises (SMEs) with a target on the environmental sector in the Philippines.

(USD 1.0 = EUR 0.909)

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