The Japanese government has pledged to reform yen loans to help promote infrastructure development among Asian nations.
The announcement was made by Prime Minister Shinzo Abe on Saturday as he addressed a business and investment summit of the Association of Southeast Asian Nations (Asean) in Malaysia's capital Kuala Lumpur, public broadcaster NHK reported.
Abe reiterated that Japan, along with the Asian Development Bank, will provide $110 billion over the next five years for infrastructure projects.
He also said Japan will reform yen loans to make them more accessible to Asian countries and to meet their needs better.
The current process of implementing yen loans takes about three years. It will be shortened to one and a half years.
Abe said state guarantees from the partner countries will be exceptionally exempted if yen loans are extended to public organisations or local governments, with sufficient involvement of the governments of these countries.
Abe also pledged to revise a law to enable the government-backed Japan Bank for International Cooperation to invest or finance infrastructure projects overseas that might carry risks. This is meant to help Japanese companies operate abroad.
