Loan Insurance for Construction Machinery Export to the Republic of Uganda
Nippon Export and Investment Insurance
Nippon Export and Investment Insurance (NEXI) has decided to provide insurance on a loan made to the Republic of Uganda for the purchase of Japan made construction machinery through Sumitomo Corporation.
Being an agricultural nation, Uganda is planning to construct new roads in its rural areas to help improve market distribution of produce. Under this project, construction machinery, vehicles for material transportation, etc. manufactured by Komatsu Ltd., Sakai Heavy Industries, Ltd., TADANO LTD., Mitsubishi Fuso Truck and Bus Corporation, Kyokuto Kaihatsu Kogyo Co. Ltd., etc. will be delivered to Uganda’s Ministry of Works and Transport.
The loan will be made in the form of co-financing, performed jointly by Sumitomo Mitsui Banking Corporation (SMBC) and Japan Bank for International Cooperation (JBIC), and NEXI will undertake the insurance to cover the loan portion executed by SMBC.
As the Export Credit Agency in Japan, NEXI will continue to provide strong support to Japanese enterprises for their overseas business expansion.
|Insured||Sumitomo Mitsui Banking Corporation|
|Insured amount||Approx. JPY 7.6 billion|
|Tenor||Approx. 5.5 years|
|Covered risks||Political Risks 100%, Commercial Risks 95%
(with Sovereign Special Clause)
Structured and Trade Finance Insurance Department