Swedish companies that work with Canadian companies on either export transactions or projects in other markets will benefit from a new agreement between Canada’s Export Development Canada (EDC) and its counterpart in Sweden the Swedish Export Credits Guarantee Board (EKN).
Under the terms of the agreement, EDC and EKN will reinsure each other in situations where either is providing insurance or guarantee support for a transaction involving goods and services supplied from both countries. Because exporters will only have to deal with one institution, the credit approval process will be both easier and faster for the exporter and the buyer, as well as reduce the exporter’s costs.
EKN is a government agency established in 1933 to promote Swedish exports by issuing guarantees. EKN can cover political and commercial risks in connection with export transactions and political risks in connection with investments abroad.
EDC provides trade finance and risk management services to Canadian exporters and investors in up to 200 markets. Founded in 1944, EDC is a Crown corporation that operates as a commercial financial institution.