Japan Is Prepared to Resume Discreet Bank Loans to China
Japanese banks are set to resume lending discreetly to China with the blessing of Japan’s Ministry of Finance, banking sources said today.
Japanese bankers said they have received signals recently indicating that they will be able to formally resume lending to Beijing in February, seven months after loans by Japanese and most Western banks were cut off after a government crackdown on China’s democracy movement.
A loan of $30 million will be granted to one of the eight national Chinese import-export corporations in Beijing by a consortium of three Japanese banks, sources close to the banks said.
“The (Japanese) Ministry of Finance did not signal any dissatisfaction with the deal last week,” one source said.
The loan was being arranged by CCIC Finance, a Hong Kong-based joint venture of American, Japanese and Chinese banks.
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