U.S. Senator Kevin Cramer (R-ND), a Senate Banking Committee member, issued the following statement on the Export-Import (EXIM) Bank of the United States raising the guarantee coverage option for the Supply Chain Finance Program (SCF) and Working Capital Guarantee Program (WCGP):
“EXIM raising the guarantee coverage option for these programs will make it easier for our exporters and suppliers to get the capital they need to stay afloat. Helping to prevent vital parts of our economy from collapsing during the COVID-19 pandemic underscores the importance of the EXIM Bank, and I urge those who are eligible to take advantage of the bank’s actions.”
According to EXIM, the bank is raising the guarantee coverage option up to 95 percent from the standard 90 percent. This will make the programs more widely available to U.S. suppliers and exporters and incentivize financial institutions to make more supply chain financing available to U.S. exporters by reducing their credit risk.
Senator Cramer championed the effort to reauthorize the EXIM Bank last year, leading to the largest reauthorization in the bank’s history.