Fiscal Inverstment and Loan Program (FILP)
What is FILP? (Introduction)
FILP is long term low interest loan and investment by the government to achieve policy objectives of financial support for small and medium enterprises, construction and improvement of hospitals and welfare facilities, and to obtain natural resources.
Procuring the capital through issuing FILP bonds, a type of Japanese Government Bond, FILP provides long-term and low-interest funds that are difficult for the private sector to deal with and enables the execution of large-scale and long-term public projects.
This report has been prepared to answer many questions that we received concerning FILP. We have made every attempt to explain the mechanism and target fields of FILP. It also explains FILP by using the most updated information.
The Financial Bureau looks forward to your comments, and we will continue to enhance and improve this booklet.
Financial Bureau
Ministry of Finance
August 2011
PART I Outline of Fiscal Investment and Loan Program (FILP)
PART II FILP Initiatives in Recent Years
- 1.Economic & Financial Crises and Response by FILP
- 2.Development of Disclosure
- (1) Policy Cost Analysis
- (2) Preparation of Financial Statements Based on Private Sector Accounting by FILP Agencies
- (3) Efforts to Ensure FILP Transparency
- 3.Improved Checking Function Against FILP Agencies
- (1) On-site Monitoring
- (2) Analysis of Financial Condition of Local Governments
- 4.Risk Management in Fiscal Loan Fund
PART III FILP Movements in FY2010
PART IV FAQ
- Q. What are FILP agencies?
- Q. How is the funding rate or the loan interest rate of the Fiscal Loan Fund decided?
- Q. How do FILP agencies procure funds?
- Q. How do FILP bonds differ from government bonds?
- Q. Is the money from the postal savings and the pension reserves still being used in FILP?
- Q. Can borrowers of Fiscal Loan Fund make a pre-maturity redemption?
- Q. Is it true that many FILP-target projects are generating nonperforming loans?
PART V APPENDIX
PART VI Glossary
Information Directory
Photographs courtesy of
- • Japan Finance Corporation
- • Special Account for Energy Policy
- • Forestry and Forest Products Research Institute
- • National Center for Global Health and Medicine
- • Japan Railway Construction, Transport and Technology Agency
- • Urban Renaissance Agency
- • Japan Water Agency
- • Iwata City, Shizuoka Prefecture
- • Welfare and Medical Service Agency
- • Special Account for Stable Food Supply (Accounts for National Land Improvement)
- • Kameyama City, Mie Prefecture
- • Sakai City, Osaka Prefecture
- • National Agriculture and Food Research Organization
- • Central Japan International Airport Co., Ltd.
- • National Cerebral and Cardiovascular Center
- • Japan Oil, Gas and Metals National Corporation
- • Japan International Cooperation Agency
