Institution details
Export Finance Norway - Eksfin (Eksfin)
Key facts
- Established in 2020
- Ownership: Public
Part of the OECD
Part of the Berne Union
- Støperigata 1
- None
- https://www.eksfin.no
Latest update: 03/12/2021
rating type | rating agency | type | rating |
---|---|---|---|
Institution rating | S&P | Foreign currency | AAA |
Country rating | S&P | Local currency | AAA |
Products
- Buyer credit guarantee
- Supplier credit loan
- Supplier credit
- Letter of credit
- Other products
Buyer credit guarantee
- Provides guarantees to lenders providing long-term financing to foreign buyers of Norwegian goods and services
- Financing application must be submitted early in the export process, and, if a direct loan is sought, application must be submitted before the commercial contract is signed
- Tenor:
- Standard exports: Ranges from 2 to 10 years
- Ships: Up to 12 years
- Project finance: Up to 14 years
- Renewable energy, drinking water, and drainage projects: Up to 18 years - Cover: Up to 85% of the export value; up to 80% of the export value for ships
- For contracts larger than NOK 50 million, Eksfin must share the risk with a commercial bank
- Eligibility: Up to 70% of the debt may be covered
- Fees:
- Since Eksfin shares risk with lenders, the premium for the guarantee typically equals the bank’s risk premium
- No application fee - Sub-products:
-Guarantee to a bank that is financing an investment in Norway that will lead to export transactions
Supplier credit loan
- Provides loans to foreign buyers of Norwegian goods and services
- Financing is linked to deliveries from companies in Norway or from Norwegian subsidiaries abroad; financing of other efforts that promote Norwegian interests and Norwegian value creation are also considered
- Interest rates:
- Fixed-rate CIRR loans
- Floating rate LIBOR + margin, in compliance with rules on state subsidies - Requirement: Buyer must apply for export financing before signing the contract
- Financed amounts:
- Up to 85 % of contract value
- Up to 80% of contract value for ships and ship equipment - Tenor:
- For capital goods: 8.5 years
- For projects in developing countries: 10 years
- For ships and ship equipment: 12 years
- For project finance: 14 years
- For renewable energy, water supply, and drainage projects: 18 years - Local content may be partly supported as part of the financing
Supplier credit
- Protects Norwegian exporters against non-payment from foreign export sales
- Cover: Up to 90% of the credit for single or multi-buyer policies
- Premium: Calculated based on repayment period, buyer’s creditworthiness, and political risk in buyer’s country
- No application fee
- Sub-products:
- Contract guarantee: Protects the exporter against losses during the production period due to foreign buyer failing to fulfill its obligation to purchase; contract guarantees are used when the product is customized and difficult to sell to anyone other than the original purchaser
- Production guarantee loan: Provides up to 50% cover of a bank loan made to a Norwegian company during the production phase of a specific export contract
Letter of credit
- Eksfin guarantees confirmed L/Cs associated with Norwegian exports
- Cover: Up to 50% of the L/C issuing bank’s risk
Other products
- Investment guarantee
- Supports Norwegian investments in countries with high political risk
- Cover: Political risk only; up to 50% of investment or loan
- Tenor: Up to 20 years - Tender guarantee
- Available to Norwegian companies bidding on contracts in aid-financed projects in developing countries
- If bid is unsuccessful, up to 50% of tender costs may be reimbursed up to a maximum of NOK 250,000
- Minimum eligible tender costs are NOK 80,000
- Eksfin administers this product; financing is provided by Norfund - Bond guarantee
- Covers loss to foreign buyer for non-delivery by a Norwegian exporter
- Eksfin issues the guarantee to the exporter’s bank or financial institution
- Cover: Usually 50% of the bank’s risk; for bonds up to NOK 10 million, Eksfin may cover up to 70%
- Types of bonds include tender, advance payment, performance, and warranty; Eksfin may provide cover for unfair calling of the bond for an additional fee " - Vessel financing
- Guarantee of debt financing up to 80% of sales contract
- Cover: Up to 90% of commercial risk; up to 100% of political risk
- Eligibility: Up to 30% Norwegian content consisting of goods, services, and value creation
- Tenor: Up to 12 years
- Eksfin guarantee of loans for second-hand sales of vessels deemed sufficiently tied to Norway; guarantee can exceed retrofit costs
- Charter party contracts can be supported
- Guarantees for tender, advance payment, performance, and completion of marine equipment; cover up to 50% of bank’s risk
- Building loan guarantees to Norwegian shipyards (and including offshore rigs) so the boat builders can obtain competitive financing during the ship construction period; cover up to 50% of loan value; Eksfin charge an upfront fee, a commitment fee, and a risk premium " - Power purchase guarantee
- Guarantees payment associated with the purchase or sale of electric power for major projects
- Eligibility: Available for Norwegian companies operating in the wood processing, metals, or chemical products sectors and where the buyer’s business as annual energy consumption exceeds 10 GWh over the contract period
- Energy seller’s guarantee covers non-fulfillment of a power contract by a buyer
- Guarantee to lenders to cover loan repayment by buyers booked in advance of actual power delivery
- Tenor: Ranges from 7–20 years for either physical or financial power contracts
Modality | Tenor | Cover type | coverage |
---|---|---|---|
Guarantee | Short/medium/long-term | Comprehensive | Up to 100% |
Performance highlights
What's new?
- GIEK and EKN combined to form Eksfin
- Adheres to corporate, social responsibility, and sustainable lending policies
- Eligible content: At least 30% Norwegian content
- Down payment: 15% unless it is a ship, which requires 20%
- Borrower pays all fees (e.g., agency fee, commitment fee, etc.)
- Repayment period of at least 2 years
- Financing not allowed for raw materials or consumables