Financing
Direct Loan
Fixed-Rate Term Financing for International Buyers
Ex-Im Bank assists exporters by providing fixed-rate loans to creditworthy international buyers, both private and public sector, for purchases of U.S. goods and services.
Benefits:
- Enables international buyers to obtain loans from Ex-Im Bank
- Medium-term and long-term financing available
Eligibility
Ex-Im Bank's loan to an international buyer is generally used for financing purchases of U.S. capital equipment and services, and exports to large-scale projects.
Financing may also be available for:
- Refurbished equipment including farm machinery
- Software
- Certain local costs and expenses (See Ex-Im Bank Policies -- Local Cost.)
Military or defense items are generally not eligible nor are sales to military buyers (with certain exceptions).
Goods eligible for Ex-Im Bank financing must meet Ex-Im Bank's foreign content requirements (See Ex-Im Bank Policies -- Foreign Content.)
Goods eligible for Ex-Im Bank financing must be shipped from the United States to an international buyer. Exports financed by direct loans are normally subject to U.S. flag vessel requirements. (See Ex-Im Bank Policies -- Shipping.)
Ex-Im Bank can do business in most markets. However, we may be limited or unable to offer financing in certain countries and under certain terms. (See Country Information -- Country Limitation Schedule.)
Prior to approving certain transactions, Ex-Im Bank will take into account the economic impact of a particular transaction (see Ex-Im Bank policies -- Economic Impact) and the environmental effects (see Ex-Im Bank policies -- Environment).
Product Description
Size: There is no minimum or maximum limit to the size of the export sale that may be financed with Ex-Im Bank's loan. However, transactions normally involve amounts over $10 million.
Coverage: The total level of Ex-Im Bank support will be the lesser of 85% of the value of all eligible goods and services in the U.S. supply contract or 100% of the U.S. content in all eligible goods and services in the U.S. supply contract.
Cash Payment: Ex-Im Bank requires the buyer to make a cash payment to the exporter equal to at least 15% of the U.S. supply contract. The 15% cash payment can either be borrowed from a lender or the exporter at market terms, or be from the buyer's own funds.
Repayment Terms: Generally, the repayment term of a transaction is determined by numerous variables including but not limited to the borrower's financial condition, the common repayment terms the market gives such products, specific industry practices, industry and country conditions, useful life, OECD and Berne Union agreements, and the matching of terms offered by other foreign government-sponsored financing. Repayment terms are generally in excess of seven years.
Recently Approved Transactions in Ukraine
Insured: Wells Fargo HSBC Trade Bank, Minneapolis, MN
Exporter: Equipment Direct-USA, LLC, Arcola, IL
Supplier(s): Case New Holland, Inc., Lake Forest, IL
Broker: International Risk Consultants
Guarantor: Privat Bank
Amount: $10 million
Description: The sale of tractors for leasing to agricultural producers in the Ukraine
Applicant: Deere Credit Inc.
Exporter: Deere & Company, Moline IL.
Description: Credit Guarantee Facility
Borrower: Nadra Joint Stock Commercial Bank
Amount: $7,534,100
Description: New Agricultural Equipment
Applicant: Arthur Farm Power, Inc. d/b/a Farm Pride, Arcola IL
Borrower: Bramlaw Holdings Ltd., Limassol, Cyprus
Guarantor: Privat Bank, Dnepropetrovsk, Ukraine
Exporter: Arthur Farm Power, Inc. d/b/a Farm Pride, Arcola IL
Amount: $4,964,000
Description: The sale of agricultural equipment to Nova Farm Ltd.
Applicant: Bank of New York, NY
Borrower: Nadra Joint Stock Commercial Bank
Guarantor: None
Exporter: Hughes Network Systems Intl Svcs, Germantown MD
Amount: 1,946,500
Description: The sale of satellite communications equipment from Hughes Network Systems to Nadra Joint Stock Commercial Bank.
Applicant: PNC Bank National Association, Pittsburgh PA
Borrower: UK Steel and Glass Ltd., London, England WC1R 4JS UK
Guarantor: Joint Stock Commercial Bank Mriya, 01601 Kiev, Ukraine
Exporter: Banyan Capital Corp., Miami FL
Supplier: Antonov Aircraft Dealer Corp., Fort Lauderdale FL
Amount: $2,741,500
Description: The sale of a single used aircraft (Gates Learjet 55) to Business Airlines Limited of Kiev (via UK Steel and Glass).
Applicant: National City Bank Cleveland, Cleveland OH
Borrower: Bramlaw Holdings Ltd., Limassol 3081 Cyprus
Guarantor: Privatbank, Dnepropertrovsk 49094 Ukraine
Exporter: Arthur Farm Power Inc., Shelbyville IL
Supplier: McClean Implement Inc., Albion IL
Amount: $2,790,068
Description: The sale of combines and related equipment to Bramlaw Holdings Ltd.