MANILA, Philippines - Mizuho Bank Ltd. has entered into a business cooperation agreement with Clark Development Corp. (CDC) to assist Japanese firms expanding operations in the Philippines.
In a statement, Mizuho president and CEO Yasuhiro Sato said the agreement would enable the Japanese bank to exchange information with CDC “to enhance our ability to provide beneficial investment information to Japanese corporations that are considering expanding their businesses into the Philippines, as well as enhancing our service structure.â€
Sato said they would cooperate in relation to attracting Japanese corporations to expand their businesses into the Philippines.
Under the agreement, joint consultation events for Japanese corporations, including SME businesses, will also be held.
Sato said they would also assist Japanese corporations entering the Philippines, including providing support in relation to various procedures.
CDC is a one of the government institutions under the Bases Conversion and Development Authority, which promotes the transformation and development of former US military bases into centers of economic growth.
It is a public development corporation that was established based on the Bases Conversion and Development Act. It grants tax exemption and various preferential measures to corporations investing in the Clark Special Economic Zone, a 4,400-hectare area, located in Central Luzon.
With comparatively low land prices, wages, and electricity prices in addition to excellent access associated with the international airport there, the Clark Special Economic Zone is attracting attention as a candidate for new market entrants to establish production facilities and as a logistics center.
Sato noted that with strong economic growth and political stability, the Philippines is drawing attention as an attractive investment destination, and an increasing number of Japanese corporations are expanding their businesses here.
Mizuho, he said, would use this business cooperation agreement as an opportunity to provide support for the diverse needs of customers that are considering entering the Philippines.
In December 2012, Mizuho signed an agreement with the Bank of the Philippine Islands (BPI) to grow their market in the Philippines. During that time, Mizuho, which has about $600 million loan exposure to the Philippines, is projecting an annual 10 percent growth in loan portfolio.