Japan Intends To Help Small And Medium Enterprises To Finance Overseas Subsidiaries

overseas

The department needs local monetary funds to pay salaries and obtain working capital to expand operation.

However, their very low credibility often prevents them from obtaining loans from local banks.

The Ministry of industry and Commerce will expand the operation of Japan Finance Corporation (Japan Finance Corp.), so that government backed banks will issue letters of credit to these companies.

domestic

Financial institutions extend their loan guarantees through small businesses providing loans to overseas subsidiaries in Japan's domestic parent companies.

mechanism

The tax accounting office, non-profit organizations and other institutions that can support the operation of SMEs in Japan create a certification plan.

The plan will give specialized support outside the traditional channels such as the small business chamber of Commerce.