EKF has now been given approval by the European Commission enabling it to guarantee export credits to small and medium sized enterprises (SMEs) within the EU/OECD with a credit period as short as 181 days. This means that EKF can now help even more SMEs with guarantees. EKF estimates that this concerns Danish export transactions totalling about DKK 300 million per year.
Normally, EKF is not permitted to offer export credits within the EU/OECD if the credit period is less than 2 years. However, EKF has determined that for certain types of enterprises and orders there is a gap in the market; EKF has now been given permission to fill this gap.
EKF is now able to guarantee Danish enterprises' export orders with a credit period of between 181 days and two years conditional on fulfilment of the following requirements:
a) The exporter is an SME (as defined by the EU)
b) The order concerns a single export contract, a single buyer, and
a minimum credit period of 181 days
c) The order concerns capital goods or semi-capital goods (for
example machinery, production equipment, and similar)
d) The credit amount for each order is maximum DKK 25 million
The European Commission has given its approval after evaluating extensive documentation from EKF. The extended scheme has been initially approved until end-2012.