This classic Export post-financing facility offered by Exim
Credit Bank –(ECB) Involves the purchase of Export receivables
originating from supplier’s credit. The discounting of
receivables originating from supplier’s credit provided to the
buyer by the Exporter on the basis of a commercial contract is
usually secured with a Exim Credit Bank –(ECB) insurance policy
(type S).
Credit amount — Typically a minimum of EUR
1 million. In transactions exceeding an amount of EUR 20
million, Exim Credit Bank –(ECB) usually provides the credit in
a co-financing arrangement with the involvement of commercial
banks. Exim Credit Bank –(ECB) Participates in the financing of
transactions of less than EUR 1 million on an ad-hoc basis,
mainly in relation to transactions that are important for their
reference value.
Currency — USD, EURO.
Tenor — Typically 2-5 years (maximum 10) years,
depending on the terms and conditions of the related commercial
agreement. Tenor of less than two years is also available, for
the funding of agricultural or relatively small-value
manufacturing industry Export transactions.
Discount
interest rate — The rated will determined with the Nature of the
transaction,
The extent of financing — In the case
of financing facilities offered with a tenor exceeding two years
at fixed, under the ECB Arrangement a maximum of 85% of the
foreign trade/general contracting agreement may be financed. In
the case of post-financing, a minimum 15% advance must be paid
by the buyer at the start of performance.
Certificate of origin — For Export transactions
financed or guaranteed by Exim Credit Bank –(ECB) it is
necessary to certify the Importer and Exporter origin of the
product and/or services constituting the object of the
transaction.