Press Conference by Taro Aso, Deputy Prime Minister, Minister of Finance and Minister for Financial Services

(Excerpt)

(Tuesday, March 26, 2013, from 8:57 a.m. to 9:12 a.m.)

[Opening Remarks by Minister Aso]

At today’s cabinet meeting, as a matter related to the Financial Services Agency (FSA), the amendment of a cabinet order was decided in order to allow Shinkin banks and credit cooperatives to provide loans to members’ foreign subsidiaries. This is a measure intended to support the overseas business expansion of small and medium-size enterprises (SMEs), and in the emergency economic package announced on January 11, it was positioned as part of the support for the overseas business expansion of Japanese companies. The amendment will be put into force on March 29.

[Questions and Answers]

Q.

The SME Financing Facilitation Act is scheduled to expire at the end of the current fiscal year. Some SMEs have expressed concerns over the expiry. What are your thoughts on actions and measures that may be taken by the government in April and later?

A.

As I have repeatedly stated, financial institutions should continue to provide finance for SMEs and support their fund-raising after the expiry of the SME Financing Facilitation Act, so the FSA has dispatched personnel to all 47 prefectures and has asked various administrative agencies to open consultation desks. Moreover, the FSA has explained to chambers of commerce and industry what actions the FSA intends to take. Therefore, I hope that from April it will become clear that rumors about problems are groundless.

(End)