Bank of Kyoto Starts Loans, Bonds for Eco-Friendly Firms

On June 1, 2006, the Bank of Kyoto, a regional bank in Kyoto, Japan, began offering eco-friendly companies the "Kyogin Eco-Loan" with preferential interest rates and "Kyogin Eco-Private Placement" with favorable commission rates for issuing privately placed bonds. By providing these new services the bank will financially support enterprises that are recognized as promoting environmentally friendly activities.

The environment-oriented services are available for companies: (1) that have acquired certification of the Kyoto Environmental Management System (KES), ISO 14001, or "Eco Action 21" program created by the Ministry of the Environment; (2) that have been certified, authorized or awarded by the national or a municipal government for their eco-conscious management; and (3) that use their funds in ways to help conserve the environment.

Companies that meet the criteria obtain the Kyoto Eco-Loan at an interest rate up to 0.3 percent more favorable than the regular rate for the bank's fixed long-term loan fund. Meanwhile, they are favored in Kyoto Eco-Private Placement with a 0.15 percent discounted commission during the bond period.

The bank has already been recycling paper and using low-emission vehicles to address environmental issues. It aims to further exercise its corporate social responsibility by actively supporting eco-friendly companies.

http://www.kyotobank.co.jp/investor/annual/index.html

Posted: 2006/10/13 03:44:21 PM
Japanese version