The Export-Import Bank of Korea said Friday it has clinched a loan deal with its Chinese counterpart to provide Korean firms with loans and guarantees for their overseas projects.

Under the agreement, Eximbank Korea will extend a loan to a domestic company doing business in another country, with the Export-Import Bank of China giving a guarantee on the company’s equipment if it is made in China to be used in the overseas project, the Seoul-based policy lender said in a statement.

The joint loan and guarantee program offered by the two policy lenders will help Korean firms expand their footholds in big development deals abroad such as plant projects since there has been increasing demand, the Korean Eximbank said. (Yonhap News)