Australia’s export credit agency, Efic, has signed a foreign exchange (FX) agreement with Afex, a global payment and risk management firm, which will offer Australia’s exporters better protection against adverse currency movements.

Efic will now guarantee foreign exchange facilities offered by Afex to exporters, enabling the foreign exchange outfit to increase the trading limit for clients. With increased limits, those clients will be able to protect more of their export contracts and better secure profit margins.

Alex Fernandez, Efic’s head of alliance and product, SME, says: “We’re excited to offer Australian exporters even more support and protection in their international activities through this new partnership with Afex, a trusted player in the foreign exchange market.”

Through this new FX facility, exporters can protect themselves from exchange rate fluctuations by locking in exchange rates and allowing them to hedge their currency exposure.

Commenting on the agreement, Richard Poulton, Asia Pacific general manager of Afex, says: “Australia relies heavily upon its export markets and it’s vital that businesses targeting overseas sales are well protected against ongoing and inevitable currency volatility.”