A loan for financing the long-term financial needs of an exporter for carrying out a foreign investment (establishment of a subsidiary, a joint enterprise or purchase of a share in an existing foreign company) or its expansion in a country of export through increasing investment or short-term assets.
|Diagram explanation note|
|The Exporter concludes a contract under which he will complete the investments abroad.|
|2.||Provision of credit for investment financing|
|EXIMBANKA SR provides the exporter with credit for realisation of the investment .|
|The credit is repaid primarily from the profits of the exporter from his foreign investment.|
For what time period is this loan provided?
Maturity of the loan is a maximum of 8.5 years from the first day of drawing on the loan.
What are the basic conditions for providing the credit?
• Minimum period of owning a foreign company by the exporter is 3 years.
• the exporter must pay 10% of the value of the investment from its own resources.
• Regular, balanced instalments, at least two times annually.