The course will consider key aspects pertaining to establishing and managing the ECAs. It will delve into technical issues that define the roles, functions and operational dimensions of ECAs. Among others, it will look at operations of ECAs and practical common features of ECAs in the areas of application process, eligibility criteria, risk classifications, terms, and pricing. It will further look into the basic functions of ECAs in the context of: helping exporters meet officially supported foreign credit competition; providing financing to foreign buyers in the absence of private lenders or those willing to finance export sales including in the absences of risks; and taking of risks by ECAs beyond those that can be assumed by private lenders by virtue of their role to helping country’s lenders compete internationally. On the regulatory side, the course will look into regulations pertaining to ECAs. Among other a review of OECD regulations on official ECAs and various ways in which ECAs operate will be conducted. Inner workings of the relationships between ECAs and key stakeholders namely the exporters, consultants, attorneys, and advisors will be analysed. The course will further analyze the risks involved in differentiated export transactions in the context of ECAs. These will include political risks, which may include associated risks such as transfer risks, expropriation, war risks, cancellation of an existing import and export license. In this context, the OECD’s classification of risks will be considered. The course will further consider commercial risks in particular nonpayment as a result of bankruptcy, insolvency, protracted default, fluctuation in demand, unanticipated competition, shifts in tariffs, and/or failure to take up goods that have been shipped according to the supply contract. Last but not least, the course will cover basic financing needs of an exporter such as Pre-export working capital, Short-term export terms extended to importers, Medium- to long-term financing support to overseas importers, Project financing, Special export structures (e.g., leases, aircraft financing, on-lending credit facilities, etc.). It will also cover three forms of ECAs financing namely insurance, guarantees and loan of credit facilities.
Professionals working for ECAs, public sector entities involved in the work of the ECAs including at administrative, operational and regulatory levels, public sector regulators including ministries of finance, central bank and statutory bodies and government’s specialized departments involved in regulation of financial institutions, government ministries involved in ECAs supported transactions, private sector entities involved in ECAs transactions including import and export transactions, commercial banks and other financial institutions such as those in the insurance sector.
Topics to be covered
Duration: 1 Week
Venue: Kampala, 26-30 June 2023
Fees: US$ 1,500
