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The Japanese Bank for International Cooporation (JBIC) has signed a general agreement with ICICI Bank (Bank of India) for an export credit line of up to US$30 million to fund a variety of renewable energy projects, it has been announced. Other private Japanese institutions will also co-finance the loan, adding another US$50 million to the credit line, making the credit a total of US$80 million.
The credit line aims to provide long and medium term credits denoted in US$ or Yen for the ICICI Bank to acquire materials and equipment related to the development of renewable energy projects from Japanese companies, supporting trade between Japan and India. The credit line will support the Indian government’s plans to increase renewable energy to 41.1GW 2017. The two banks have previously collaborated on other loans that support initiatives encouraging trade and cooporation between Japan and India, including projects for renewable energy and energy efficiency.