# Presentation: 216396

## Ex-Im Bank in Sub-Saharan Africa

**2006 AGOA Summit, Washington DC**
**Ministerial Forum**
** ****Linda Conlin****Member, Board of Directors**
- June 6, 2006

## Ex-Im Bank Introduction

- Official export credit agency of the United States
- Mission: assist in finance of the export of U.S. goods and services to international markets
- Not a development agency; must have reasonable assurance of repayment
- Does not compete with private sector lenders, but assumes credit and country risks that the private sector is unable or unwilling to accept
- With more than 70 years of experience, Ex-Im Bank has supported more than $400 billion in exports

## How Does Export-Import Bank 			Fit In?

**State Department**
- gives foreign policy guidance – *U.S. Embassies*
**Commerce Department**
- provides information, counseling and expertise - *FCS*
**U.S. Trade & Development Agency**provides project planning funding and assistance
**OPIC**
- provides project finance and investment insurance
**Export-Import Bank**
- finances exports through varied term programs and insurance

## What Ex-Im Bank Does

- EXPORT FINANCE SOLUTIONS
- Working Capital Guarantees (pre-export)
- Short and Medium-Term Insurance
- Medium- and Long-Term Loan Guarantees
- Up to 15-year repayment terms for environmentally beneficial renewable energy and water/wastewater projects
- Structured/Project Finance

## Ex-Im Bank in Sub-Saharan Africa

- _ __Short Term_: 44 out of 48 SSA countries
-  _Medium Term_ (up to 5 yrs): 25 SSA countries
-  _Long Term_: 12 SSA countries
- _Long Term Project Finance_: 47 SSA countries

## Number of Transactions in Sub-Saharan Africa

## Ex-Im Bank in Sub-Saharan Africa

- Approved *115 transactions* for $*462 million* in 20 countries in Sub-Saharan Africa.

## Ex-Im Sub-Saharan Africa Initiative 

- Sub-Saharan Africa is a priority region, as outlined by Ex-Im’s Charter
- Establishment of SSA Advisory Committee
- Africa Business Development Group
- Africa Newsletter to for U.S. exporters and African buyers
- Short-Term Insurance Pilot Program (STIPP) makes insurance available to exports to 19 SSA countries that would otherwise be ineligible for Ex-Im support

- USTDA initiative

## Nigerian Oil and Gas Subcontractor Initiative
In an effort to increase local employment – oil companies must give service contracts for operations to local companies
Local companies need to gain access to U.S. goods and services to fulfill contracts. 
NNPC developing standards to qualify local companies
Local companies do not always meet credit standards; new structure envisioned to:	
1) Enhance local company credit and debt capacity
2) Ensure debt repaid through contractual payments

- In an effort to increase local employment – oil companies must give service contracts for operations to local companies
- Local companies need to gain access to U.S. goods and services to fulfill contracts.
- NNPC developing standards to qualify local companies
- Local companies do not always meet credit standards; new structure envisioned to:
- 1) Enhance local company credit and debt capacity
- 2) Ensure debt repaid through contractual payments

**Ex-Im Sub-Saharan Africa Initiative**

## Sub-Saharan Africa Success Stories

**Mauritius**
- An Ex-Im Bank short-term insurance policy covered the sale of over $600,000 of cotton yarn to **Socota Textile Mills, Ltd., **of Curepipe, Mauritius and **Consolidated Fabrics, Ltd., **of Solitude, Mauritius.
- The U.S. yarn inputs were used for manufacturing purposes in Mauritius
- mutually beneficial trade in line with mission of AGOA

## Sub-Saharan Africa Success Stories

** ****Oil and Gas**
**Nigeria: LNG**
**Ex-Im financed $115 mn of  an LNG plant in Nigeria out of $1.9 total project costs. LNG Delivered  to Europe and US East Coast.**
**Angola: Cabinda Oil Wells**
**Project financing allowed US exporter to complete its sale contract of $200 mn for the development of oil wells off the coast of Angola. **

## International Business Development 

- John Richter, Regional Director
- E-mail: _[John.Richter@exim.gov](mailto:John.Richter@exim.gov)_
- Tel: 202-565-3903 / Fax: 202-565-3839
- Ricardo Michel, Business Dev. Officer
- E-mail: _[Ricardo.Michel@exim.gov](mailto:Ricardo.Michel@exim.gov)_
- Tel: 202-565-3916 / Fax: 202-565-3961
- Internet: http://www.exim.gov
- E-mail:  eximafrica@exim.gov