State Bank of India (SBI) has signed a loan agreement amounting to up to $1 billion with the Japanese Bank for International Cooperation (JBIC). The loan is intended to promote the smooth flow of funds for the whole range of business operations of Japanese automobile manufacturers in India. The public sector lender had signed a similar deal with JBIC in October 2020.
“The Covid-19 crisis has delivered a significant shock to global trade, disrupted production lines and depressed global demand. At a time when people are preferring personal mode of transport, this collaboration between SBI and JBIC will help the bank in extending loan facility to entire supply chain of Japanese automobile industry including suppliers, dealers and ultimately to the end users,” SBI Chairman Dinesh Khara said.
