![Open Access](https://i-scholar.in/lib/pkp/templates/images/icons/fulltextgreen.png)
![Restricted Access](https://i-scholar.in/lib/pkp/templates/images/icons/fulltextred.png)
![Open Access](https://i-scholar.in/lib/pkp/templates/images/icons/fulltextgreen.png)
![Open Access](https://i-scholar.in/lib/pkp/templates/images/icons/fulltext_open_medium.gif)
![Restricted Access](https://i-scholar.in/lib/pkp/templates/images/icons/fulltextred.png)
![Restricted Access](https://i-scholar.in/lib/pkp/templates/images/icons/fulltext_restricted_medium.gif)
Export Credit Agencies: Competitive Trends in G7, Emerging Economies and Reform Issues
Subscribe/Renew Journal
This paper seeks to determine the impact of the OECD Arrangement for Officially Supported Export Credits on G7 ECA official support and make comparisons with the support activity of the non-OECD states of Brazil, India and China such that suggestions for future cooperative development can be determined.
The success of the OECD Arrangement in squeezing out blanket export support subsidies within OECD member countries caused G7 ECAs to focus mainly on riskier medium-long-term support and let the private sector take the short-term and less risky medium-long-term business. Official support trends have therefore declined rapidly since 1980 although some stability appears now to have been reached. By contrast, the governments of Brazil, India and China, not being encumbered by the OECD Arrangement, are aggressively using their ECAs to support national exports in the short-medium-long-term and by 2010 these three countries will provide more absolute and relative official support than the G7. China is the most aggressive and by 2010 its support of medium-long-term exports will match that of the G7 combined. As these emerging countries exert more impact in world trade, the influence of the OECD Arrangement will decline and official subsidy support of exports will rise. Therefore discussions to develop a reform agenda for new export credit disciplines need to be undertaken. Such discussions would need to include Brazil, India and China and other countries with significant exports and effective ECAs.
Keywords
- ECGD (2004), Report on the Comparison of Export Credit Agencies, April 2004. ECGD, London.
- Economist (2006), The New Titans: A Survey of the World Economy, September 16th 2006.
- Export-Import Bank of the United States (2005 and 2006), Report to the U.S. Congress on Export Credit Competition and the Export- Import Bank of the United States. Ex-Im Bank, Washington, USA.
- Export Credit Agency websites, www.eximbank.info/
- Harmon, Jim, Maurer, C., Sohn, J. and Carbonell, T. (2005), Diverging Paths: What Future for Export Credit Agencies in Development Finance. World Resources Institute.
- Mulligan, R. M. (1982), A Study of Officially Supported Export Insurance and Finance Systems, PhD Thesis. Bradford University, Yorkshire, UK.
- OECD (1976), The Export Credit Financing Systems in OECD Member Countries. OECD, Paris.
- OECD (2004), Statistics on Export Credit Activities (Up to and including the year 2004). OECD, Paris.
- OECD (2005), Annex X of Export Credit Financing Systems in OECD Member Countries and Non-Member Economies (2005 Update).
- OECD (2005), Arrangement on Officially Supported Export Credits. OECD, Paris.
- OECD Database, http://www.oecd.org/department/0,2688,en_2649_34241_1_1_1_1_1,00.html
- Porter, M. (1998), Competitive Advantage of Nations. The Free Press.
- Stephens, Malcolm (1999), The Changing Role of Export Credit Agencies. IMF
- Summers, Lawrence J. (2000), The Importance of Continuing to Fight against International Trade Finance Subsidies, US Treasury Office of Public Affairs, www.ustreas.gov/press/1s631.htm
- UNCTAD Statistical Database, http://stats.unctad.org/Handbook/TableViewer/tableView.aspx?ReportId=128
- World Trade Organisation (2006), World Trade Report: Recent Trade Developments and Selective Trends in Trade, http://www.wto.org/english/res_e/booksp_e/anrep_e/wtr06-1a_e.pdf
- Yip, George S. (1989), Global Strategy in a World of Nations, Sloan Management Review, Fall.
![](https://i-scholar.in/public/site/images/abstractview.png)
Abstract Views: 364
![](https://i-scholar.in/public/site/images/pdfview.png)
PDF Views: 1