How to support
exporters.
Global practices

Implementing national projects improves the regulatory environment, availability of financial support, and international integration. In this context, experiences in the USA, Germany, and China may be of interest.

Financing

In the United States, the Export-Import Bank (EXIM) acts as the official export credit agency of the nation, offering financial support to manu­facturers and other companies interested in exporting U.S. goods and services. In addition to lending at fixed rates, EXIM provides guarantees to companies – including buyers of U.S. goods – for financing from commercial banks and other lenders, even helping facilitate the borrower to leverage receivables as collateral.

In Germany, the insurance company Euler Hermes offers insurance coverage for exporters' foreign trade transactions. Both commercial banks and specialized state credit institutions may grant financing for exports – provided that the loan is insured by Euler Hermes. These state institutions include the KfW Development Bank and the AKA Export Credit Society. It is worth noting that today, Euler Hermes operates in over 50 countries, and holds over 35% of the total shares of the global credit insurance market.

The Russian model differs from both the American and German ones. The main player in the export credit and insurance market is the Russian Export Centre (REC), which includes Eximbank of Russia and the Export Insurance Agency of Russia (EXIAR).Until 2017, commercial banks did not recognize exporters as their own unique group of customers. As their numbers rose, it became clear that the existing lending conditions in the Russian Federation were no longer satisfactory. Since then, a new regulation had been put in place that facilitates companies' access to financial resources. According to its documentation, Eximbank as well as other banks included in the support program can provide preferential financing for exporters. A federal budget provides these banks with funds to subsidize their interest rates for export-related loans.

In China, the state-owned China Export & Credit Insurance Corporation (SINOSURE) has operated since 2001 in a similar manner, supporting the export of Chinese high-tech products and other goods of considerable va­lue. The State Export Credit Insurance Risk Fund forms SINOSURE capital in accordance with the national budget.

The world's top exporting countries make use of a combined state and commercial solution to allow their companies to conduct international trade, allowing them to increase exports of non-primary goods with a higher added value. Russia is gradually introducing this business model.
SINCE 2017, THERE IS A REGULATION
THAT FACILITATES COMPANIES' ACCESS TO FINANCIAL RESOURCES

Non-financial support

Information and consulting services play an important role in the system of promoting goods to foreign markets. For instance, in Brazil, exporters can rely on legal and marketing support and even direct assistance in resolving day-to-day issues in foreign markets.

The Federal Ministry of Economics and Energy and the Federal Ministry of Food and Agriculture support international exhibition activities in Germany. The ministries' total annual budgets for these programs amount to about 37 million euros. Federal assistance is complemen­ted by regional initiatives that apply to events that are not on the "mandatory list."

Russian exporters can receive both information and consultation, as well as congress and exhibition support from the REC, the Chambers of Commerce and Trade, and Russian representative offices in other countries.

Germany's model is the most si­milar to the Russian one, in which the institutional infrastructure for exporters includes economic departments at the German diplomatic missions in other countries, a network of foreign trade chambers, and centres of industry and commerce.

Modern trends

The state can influence enterprises' export activities in more ways than just external incentives.

In Moscow, the Mosprom Centre for Support and Development of Industrial Export and Export of Pro­ducts was established at the regio­nal level in order to do just that. Its support to companies goes beyond the classic forms of export promotion, risk insurance, export credit, and tax incentives. It also provides measures aimed at removing obstacles to business development. In this case, efforts are directed towards solving internal problems, such as helping exporting companies upgrade production capabilities, creating special conditions for priority sectors (industry, high-end technology, agribusiness, etc.), as well as providing comprehensive information and consultation.
E-mail: pressprom@mos.ru
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