MUFG is supporting reconstruction in areas affected by the Great East Japan Earthquake from a medium- to long-term perspective through our core financial business and social contribution activities. As time passes, the needs of the disaster-stricken areas continue to change. While making efforts to meet these changing needs, all companies in the Group are working together to provide assistance programs in the disaster-affected areas. It is our hope that these programs will allow those affected by this disaster to return to their normal lives as quickly as possible.
Efforts through Our Core Financial Business
Providing Financial Assistance through Public-Private Partnerships
Bank of Tokyo-Mitsubishi UFJ (the Bank) has established the Reconstruction Public-Private Partnership Office at its local branch office in Sendai under the aim of promoting investment in the regions targeted for reconstruction through partnerships with national and local government agencies. the Bank has also been supporting reconstruction through its business by offering loans that make use of the Reconstruction Agency's assistance programs.
Establishing Financial Support Scheme that Leverages Electronically Recorded Monetary Claims
For reconstruction efforts in the disaster-stricken areas, the construction of public housing for people displaced by the disaster continues to be an urgent matter. However, when constructing this public housing, payments to contractors are made in a lump sum once housing construction is completed. This has led to financial issues for contractors as it can take a considerable amount of time until payments are made. As part of its efforts to support reconstruction, Bank of Tokyo-Mitsubishi UFJ (the Bank) has established a financial support scheme that leverages electronically recorded monetary claims for the Public Housing for Reconstruction Promotion Committee in Onagawa Town, Miyagi Prefecture. This scheme addresses the financial issues contractors are facing by allowing them to receive substantial piecework payments before all the housing is transferred to the new residents. As a result, this scheme has helped reduce the financial burden of contractors.
Settlement Scheme for Public Housing for Reconstruction in Onagawa Town
Providing Financial Support through the Interest Subsidy Program
For funding of core projects as part of reconstruction plans in designated Special Zones for Reconstruction in the disaster areas (in 227 municipalities), the national government subsidizes up to 0.7% of the interest for five years. By utilizing this program, businesses carrying out core projects within the area's reconstruction plan are able to receive low-interest rate loans and, as a result, this program has allowed businesses to smoothly undertake these projects.
Up to fiscal 2016, Bank of Tokyo-Mitsubishi UFJ (the Bank) has offered a total amount of ¥29.1 billion as loans utilizing this program (30 projects; as of the end of March 2017). In this way, the Bank is supporting the reconstruction of disaster-stricken areas by engaging in initiatives through its core financial business.
Sanko Gakuen, an educational corporation operating vocational schools, universities, and junior colleges in Japan, is conducting a development project for the construction of new facilities for a wide-area correspondence high school on the former site of Yoneyama High School in Tome, Miyagi Prefecture. This project has been identified as a core project of the reconstruction plan. Consequently, low-interest loans from the Bank have been made possible through the Reconstruction Agency's system for interest subsidies for specific reconstruction zones. By making use of said system in August 2016, ¥300 million in financing was secured for new construction of school facilities. Ten new hires (three from the neighboring coast, which sustained heavy damage from the tsunami) will be made upon opening of the facilities.
This high school correspondence school takes advantage of Tome's distinction as the premier farming region in Miyagi Prefecture with agriculture and sixth-order industrialization curricula as well as special and extracurricular lessons. Tome, in cooperation with local agricultural corporations, will have the opportunity to promote regional revitalization by offering the chance for practical applications of agricultural training, and so contribute to the recovery of this earthquake-stricken area.
Efforts through Social Contribution
Providing Support through the MUFG NFUAJ East Japan Earthquake Recovery and Scholarship Fund
MUFG and Bank of Tokyo-Mitsubishi UFJ (the Bank), in cooperation with, the National Federation of UNESCO Associations in Japan (NFUAJ), established the MUFG NFUAJ East Japan Earthquake Recovery and Scholarship Fund in April 2011. For up to 15 years, the fund will be working with local schools in operating a scholarship program and holding various support projects for orphaned students (children who lost one or both of their parents as a result of the earthquake or tsunami) from elementary through high school. The fund is expected to grow to around ¥3 billion.
At the start of the program, each student is awarded ¥100,000 and subsequently awarded ¥20,000 every month until high school graduation. Since the program was introduced, 1,500 students have so far received scholarships. The program offered its final round of new scholarships to children who entered elementary school in FY 2014, and these scholarships will continue until those students have graduated from high school in 2026.
Participation in the TOMODACHI Initiative
MUFG participates in the TOMODACHI Initiative, which is running a U.S.-Japan exchange program led by the U.S. Embassy of Tokyo and the U.S.-Japan Council, a U.S. non-profit organization. We support the TOMODACHI MUFG International Exchange Program, which is an exchange program between students and teachers from disaster-stricken areas and their counterparts in the U.S. In 2012, 2014, and 2016, students and teachers from Japan visited the U.S., and in 2013 and 2015, students and teachers from the U.S. visited Japan. Through this program, we work to support the healthy growth of children in both Japan and the United States.
Held from June 24 to July 9 this year, the sixth annual program sent 20 high school students from Southern California to Japan for two weeks. They interacted with local high school students through school visits and homestays in the Tohoku region, where the earthquake and tsunami created lasting impact. Along the way, they learned about disaster reconstruction efforts and prevention measures in Japan, visited Japanese companies and associations with state-of-the-art technologies, including MUFG group companies, and participated in volunteer activities and Japanese cultural experiences such as tea ceremony and Zen meditation.
At the welcome reception in Tokyo hosted by MUFG, a U.S. student delivered an address quoting the words of past U.S. President John F. Kennedy: "As we express our gratitude, we must never forget that the highest appreciation is not to utter words, but to live by them."
In addition, a student who participated in volunteer activities for the coastal forest restoration said, "This is a great initiative to restore the forest affected by the tsunami. It was humid and very hard to remove the weeds, but it's a good thing to participate in such an activity together."
To conduct this program, six MUFG Group companies make donations to the TOMODACHI Initiative.
|The Bank of
Tokyo-Mitsubishi UFJ, Ltd.
Trust and Banking Corporation
Securities Holdings Co., Ltd.
|Mitsubishi UFJ NICOS Co., Ltd.||Mitsubishi UFJ
Lease & Finance Company Limited
|MUFG Union Bank,N.A.|
Supporting Concerts Held in Disaster-Affected Areas
Mitsubishi UFJ NICOS (NICOS) sponsors concerts by the Japan Philharmonic Orchestra held in disaster-affected areas to provide moments of peace to those who have suffered disaster. As of March 2017, concerts have been held at 100 different venues, including community centers, meeting rooms of temporary housing facilities, and schools. NICOS also engages in other ingenious activities to help people experience the joy of music, such as through instrument and conductor experiences and by directing musical performances.
Supporting Reconstruction through MUFG Employee Volunteer Activities
Mitsubishi UFJ Nicos has been conducting volunteer activities called "Tohoku Yell Volunteer", in which MUFG employees travel to the area affected by the earthquake to support the local people.
These efforts are deepening relationships with the community through responding to their specific needs, such as helping farmers with field works like harvesting and weeding, and supporting organizations that plant salt-tolerant cotton in tsunami-stricken fields no longer suitable for growing rice.
(As of October 2017)