US Ex-Im will help finance short and medium-term sales of US exports to Iraqi buyers in both the public and private sectors.
As part of this new directive, US Ex-Im is able to provide export credit insurance, loan guarantees and direct loans for creditworthy export sales to Iraq. Short-term insurance is available for transactions with repayment terms of 180 days or less, and up to 360 days for capital goods. Medium-term insurance, loan guarantees and loans are available for transactions with terms of up to seven years.
The bank’s working capital guarantees (which help US exporters or their suppliers to obtain funds to produce or buy goods or services for export) are available to support exports to Iraq.
The bank can consider providing long-term support where there are financing arrangements that eliminate or externalise country risks, such as asset-backed financings and structures that earn revenues offshore in a third country.
“Iraq’s economy is growing, offering specific opportunities for US exporters in a variety of industries. US Ex-Im can help by reducing the repayment risk, especially for small businesses at this time,” comments US Ex-Im board member, Bijan Kian.
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