A small business in Miami is selling equipment that will help Centro Materno Infantil, a hospital in Santiago, Dominican Republic, expand paediatric services with the help of a seven-year comprehensive export credit insurance guarantee for US$1.7 million.
US Ex-Im Bank has approved the insurance guarantee, which is being financed through Hemisphere National Bank of Miami.
Calmaquip Engineering Corp, a family-owned company, specialises in the export distribution of in a wide range of hospital, airport and institutional equipment. “We have been doing business with Ex-Im Bank for more than 35 years,” Armando Paz, chief financial officer of Calmaquip says. “Without Ex-Im Bank we would not be able to grow and succeed as we have over the years.”
With an Ex-Im comprehensive medium-term export credit insurance policy, US exporters are protected from commercial and political risks. Multiple shipment coverage allows a US exporter to fill an export sales order over a period of time, while maintaining coverage for the overall sale.
On average, Ex-Im finances 85% of the US content for goods and services insurance under its export credit insurance programme. A variety of policies are available to meet the needs of US exporters or financial institutions including: short-term and multi-buyer policies. Financial institutions are more likely to discount receivables or allow them in the collateral base if they are insured. This means more working capital for businesses.