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SUPPORT PROGRAM

Types of Loans

In recent years, the accumulated external debt and budget deficits of partner countries have spurred the need for various types of financing. Thus, the EDCF provides several types of lending programs to meet developing countries’ diverse needs. Of these lending programs, the Development Project Loans and Equipment Loans for infrastructure building, detailed below, account for the largest portion to date.

Development Project Loan

Provides funds for infrastructure projects such as those involving the construction of roads, railways, hospitals, vocational training centers, and water supply and sanitation systems under the economic development plan of the partner country.

Public-Private Partnership Loan

Provides funds for governments or corporations of partner countries to conduct Public-Private Partnership projects.

Program Loan

Provides funds to governments of developing countries to assist comprehensive sectorial or thematic development plans.

Sector Development Loan

Provides funds to governments of developing countries to assist specific sector and its related subprojects with simplified procedure.

Equipment Loan

Provides funds to procure equipment and other materials needed for projects under the national development plan in specific sectors or specific regions of the partner country.

Loan to International Development Finance Institutions

Provides funds to international development finance institutions which contribute to economic development and welfare promotion of developing countries.

Private Sector Loan

Provides funds to local corporations (private sector) of developing countries conducting ODA-eligible projects.

Private Sector Two-Step Loan

Provides funds to make sub-loans to local corporations (private sector) through the financial institutions of the partner country for the implementation of ODA-eligible projects.