Officially Supported Export Credits
Credits may be short term (up to two years), medium term (two to five years) or long term (five to ten years). They are usually supplier's credits, extended to the exporter, but they may be buyer's credits, extended to the importer. The risk on these credits, as well as on guarantees and insurance, is borne by the sponsoring government. ECAs limit this risk by being "closed" on risky countries, meaning that they do not accept any risk on these countries. In addition, a committee of government and ECA officials will review large and otherwise riskier than normal transactions.
Read more about this topic: Export Credit Agency
Famous quotes containing the words officially, supported and/or export:
“At a time when pimpery, lick-spittlery, and picking the public’s pocket are the order of the day—indeed, officially proclaimed as virtue—the poet must play the madcap to keep his balance. And ours.”
—Studs Terkel (b. 1912)
“Our thoughts are always elsewhere; we are stayed and supported by the hope for a better life, or by the hope that our children will turn out well, or that our name will be famous in the future, or that we shall escape the evils of this life, or that vengeance threatens those who are the cause of our death.”
—Michel de Montaigne (1533–1592)
“The rumor of a great city goes out beyond its borders, to all the latitudes of the known earth. The city becomes an emblem in remote minds; apart from the tangible export of goods and men, it exerts its cultural instrumentality in a thousand phases.”
—In New York City, U.S. public relief program (1935-1943)