The Japan Bank for International Cooperation (JBIC) provided buyer’s credit totaling up to USD 34 million (JBIC’s portion) at a fixed interest rate. Citibank Japan Ltd. (lead arranger), Bank of Yokohama and Commerzbank AG, Tokyo Branch, co-financed up to USD 34 million at a floating rate, with Nippon Export and Investment Insurance (NEXI) providing insurance, bringing the total financing amount to up to USD 68 million.
JBIC/NEXI-backed financing has achieved a 20 year tenor without a guarantee of collection. This is the first JBIC-NEXI buyer’s credit facility for a renewable energy project within High Income OECD Countries.
The JBIC/NEXI-backed financing was supported by Takanawa Japan KK, as an Advisor, and Citigroup, as a Coordinator.
Hordur Arnarson, CEO:
"This is a milestone agreement for Iceland and Japan since this is the first ECA financing Iceland receives from Japan. We are very pleased with the support from the Japanese institutions to finance our first geothermal renewable energy project."
