Feb 10 (Reuters) - The bridge loans being extended to Japan Airlines Corp by the Development Bank of Japan and the Enterprise Turnaround Initiative Corp of Japan (ETIC) may eventually reach a higher-than-expected 655 billion yen ($7.31 billion), the Nikkei newspaper reported on Wednesday.

JAL, Asia's largest carrier by revenue, which filed for bankruptcy protection to pursue turnaround efforts under the auspices of the ETIC, needs around 600 billion yen in bridge loans, the Nikkei said.

The business daily said the Development Bank of Japan is expected to extend a total of 300 billion yen in bridge loans, up from the initial estimate of 200 billion yen.

The remaining 355 billion yen will be provided by the ETIC.

The Nikkei said bridge loans from both entities is planned to be replaced by loans from private financial institutions once the state-backed ETIC's turnaround plan receives court approval this summer.

But whether private banks extend funds will depend on their assessment of the ETIC's blueprint, including whether Japan Airlines has a realistic chance of generating profit, the Nikkei added.

The Development Bank of Japan may be stuck with a higher lending balance to JAL than originally planned, if private financial institutions do not provide loans later this year, resulting in a bigger burden on taxpayers, the newspaper said.

($1=89.64 Yen)

(Reporting by Koustav Samanta in Bangalore; Editing by Unnikrishnan Nair) Keywords: JAL/

(koustav.samanta@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: koustav.samanta.reuters.com@reuters.net)

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