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WASHINGTON – The Export-Import Bank of the United States (EXIM) Board of Directors met for the first time today under the leadership of the agency’s new President and Chair Reta Jo Lewis. The Board held several consequential votes and unanimously approved three transactions. The Board also voted to officially move EXIM off-cover in Russia, closing for business after committing to follow President Biden’s lead earlier this month.

“Today is an important indicator of EXIM’s path in this new era,” said President and Chair Lewis. “The transactions approved by the Board will move America forward on key economic competitiveness and diplomatic priorities like competing with China and financing the clean energy technology exports. They also help answer the President’s call for all government agencies to support values-driven, high-standard, and transparent infrastructure projects through the Build Back Better World initiative.”

In the first transaction, the EXIM Board approved a nearly $48 million loan guarantee to support the sale of 12 U.S.-made Wabtec diesel electric locomotives to Sri Lanka Railways, with repayment guaranteed by the Ministry of Finance of the Republic of Sri Lanka. With the help of more than eight years of advocacy from the U.S. Departments of State and Commerce and the financing flexibilities provided by EXIM’s China and Transformational Exports Program (CTEP), Wabtec was awarded the $56 million contract in the face of stiff competition from Chinese locomotive manufacturers. The deal represents a unique opportunity to finance a critical infrastructure project in a market traditionally dominated by China. It follows President Biden’s lead in offering competitive, transparent, American-led solutions around the world. Given the country risk brought on by recent market events, EXIM has built in additional safeguards to protect American taxpayers should market conditions worsen. The transaction will support approximately 1,200 U.S. jobs in northwest Pennsylvania and throughout Wabtec’s national supply chain.

In the second transaction, the EXIM Board approved a preliminary commitment for a nearly $33 million energy efficiency technology authorization that will rehabilitate the electricity metering capabilities of Operatori I Shpërndarjes së Energjisë Elektrike (OSHEE), Albania’s national electricity utility. EXIM financing will be secured by a sovereign guarantee from the Ministry of Finance and Economy of Albania (MOF). Because the services in this project will reduce energy loss or consumption, it has qualified as an Energy Efficiency Transformational Export Area through CTEP. The project further advances Build Back Better World goals and will support approximately 55 U.S. jobs. 

Third, the EXIM Board unanimously voted to notify Congress about the proposed renewal of a $450 million guarantee authorization to Citibank, N.A. under EXIM’s Supply Chain Finance Guarantee Program. The $500 million facility, provided by Citibank, allows suppliers of The Boeing Company to receive accelerated payments on accounts receivable due from Boeing. The facility will support approximately $2 billion in export sales of various models of commercial aircraft. With 365 small business suppliers eligible to participate in this facility, EXIM is providing critical support to America’s small businesses. These sales will support an estimated 2,300 jobs at Boeing and the company’s national supply chain.

In the fourth transaction, the Board unanimously approved a resolution that delegates to certain officers of EXIM Bank the authority to approve, deny, and amend requests for insurance coverage on letters of credit issued by the Trade Bank of Iraq (TBI) up to $300 million for the purchase of U.S. goods and services. The transaction is estimated to support 1,500 jobs across the U.S. Under this approval, EXIM will authorize various transactions that will insure covered U.S. banks including J.P. Morgan in relation to TBI’s irrevocable letters of credit associated with the purchase of U.S. goods, such as agricultural commodities, including wheat and rice, as well as services, such as engineering, from America’s exporters. EXIM support will protect U.S. exporters against the risk of buyer non-payment.

Finally, the EXIM Board voted to move the agency off-cover in Russia, as it does not provide reasonable assurance of repayment following U.S. led sanctions and a recent commitment to close to business in Russia by EXIM President and Chair Lewis and the heads of U.K. Export Finance and Export Development Canada. EXIM’s Board previously approved an Administrative Hold on processing Russian applications in September 2014, following Russia’s invasion of Crimea. The hold has continued to date, and EXIM has not approved any new transactions in Russia during that time. EXIM currently has $410 million in exposure to Russia for aviation sector loan guarantees executed prior to the Crimean invasion.  EXIM is working expeditiously to resolve those transaction repayments.

ABOUT EXIM:

The Export-Import Bank of the United States (EXIM) is the nation’s official export credit agency with the mission of supporting American jobs by facilitating U.S. exports. To advance American competitiveness and assist U.S. businesses as they compete for global sales, EXIM offers financing including export credit insurance, working capital guarantees, loan guarantees, and direct loans. As an independent federal agency, EXIM contributes to U.S. economic growth by supporting tens of thousands of jobs in exporting businesses and their supply chains across the United States. Since 1992, EXIM has generated more than $9 billion for the U.S. Treasury for repayment of U.S. debt. Learn more at www.exim.gov.