State governments have lending and guarantee systems, and they also use industrial revenue bonds. Industrial revenue bonds that state governments and public institutions issue to raise funds for designated projects carry advantages that a certain percentage of tax will be deducted from investors' interest income, and that interest rates of issuance can be set low. Because they are part of the credit system of the country, private financial institutions too have a public role to play. They are private enterprises, however, whose aim is primarily to pursue profits. On the other hand, the mission of DBJ, an organization established exclusively with government funds, is not to seek profits, but to enhance social welfare by supporting important policy-based finance projects.
Classification is based on the location of projects receiving loans.
Foreign-currency loans, agency loans and subscriptions to public bonds are excluded. In addition to Tokyo, metropolitan areas are Kanagawa, Saitama, Chiba, Aichi, Osaka and Kyoto Prefectures, while all other areas are classified as local areas. The Bank also entertains consultation regarding the business profitability of new projects, management plans and others. For the loan applications, the Bank investigates the applicant company's overview and the details of the project being planned. Upon completion of a review of the main business constituent's ability to carry out the project, and the project's expected profitability, effect, policy significance and other matters, the terms of the loan are examined.