Japanese financial firms to invest in ASEAN businesses

Companies to pool together resources to boost small and medium firms in several emerging economies

Japanese financial firms to invest in ASEAN businesses

Insurance News

By Gabriel Olano

Several financial firms in Japan are combining resources to establish a fund that will invest in small and medium enterprises (SMEs) across Southeast Asia.
Headlined by Mizuho Financial Group and Dai-ichi Life Insurance, the firms look to invest around ¥28 billion (US$252 million) in SMEs in countries such as Vietnam, Indonesia, and Malaysia.

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Many ASEAN countries’ populations are young and growing in number, making them ripe for economic growth. The fund will also be used to support joint ventures between Japanese firms and domestic businesses.
Aside from monetary investments, the Japanese firms will provide other forms of assistance, such as sending over staff to provide manpower and technical guidance.

According to Nikkei Asia Review, Mizuho is looking to contribute more than ¥10 billion (US$9 million) to the investment fund, while Dai-ichi and other firms are expected to contribute several billions of yen each. Several Japanese regional banks and European institutional investors have also expressed interest in joining the initiative, as well.

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