Financing Supports the Purchase of American Goods and Services
FOR IMMEDIATE RELEASE February 5, 2012
Phil Cogan (202-565-3200)
Ho Chi Minh City, Vietnam - Fred P. Hochberg, chairman and president of the Export-Import Bank of the United States (Ex-Im Bank), is leading a business-development mission in Vietnam February 5 - 8, 2012. Hochberg will meet with government leaders in both Ho Chi Minh and Hanoi to boost commercial ties and business opportunities between the United States and Vietnam. Ex-Im Director Patricia Loui and other senior officials are traveling with the chairman.
MEET THE PRESS --- Ex-Im Bank Chairman and President Fred P. Hochberg met with over 40 news media representatives in Ho Chi Minh City, Vietnam explaining how the Bank can support the purchase of Made in U.S.A. goods and services. Hochberg led a business development team which met with business and government leaders there and in the nation's capital, Hanoi. (Ex-Im Bank photo)
In 2011, Ex-Im Bank authorized only about $1 million in financing to Vietnam. However, nearly $1.5 billion in critical infrastructure projects are currently in discussion, including satellite, thermal power, and renewable energy projects. This financing is the fulfillment of two existing memoranda of understanding (MOU) signed in 2010 and 2011 totaling $1.5 billion. The 2010 MOU was signed between Ex-Im Bank and the Vietnam Development Bank and the 2011 MOU between Ex-Im Bank and Vietnam's Ministry of Industry and Trade.
The MOUs called for the facilitation of U.S. exports to Vietnam in key sectors such as air transportation, power generation and transmission, and oil and gas development. In connection with these projects, there is also an additional $500 million in financing that the Bank hopes to close on in the near future.
We are here to roll up our sleeves and get these transactions done,” Hochberg said. Vietnam's infrastructure continues to develop at a rapid rate, and I want to make certain that high-quality American goods and services are available for these projects.
Hochberg will meet with Prime Minister Nguyen Tan Dung, Ministry of Finance Vuong Dinh Hue, the CEO of Electricity of Vietnam Corporation & NPT, and the Vietnam Development Bank.
Ex-Im Bank Chairman Fred P. Hochberg following talks with Vietnam's Prime Minister Nguyen Tan Dung to discuss the timetable for finalizing decisions on several of the nation's critical infrastructure projects. U.S. companies are interested in providing goods and services for the projects in a range of industry sectors, including renewable energy, power generation and distribution, and pollution control. (Ex-Im Bank photo)
Vietnam is a country of enormous potential, and it is vital that we work together and invest in projects that benefit both of our economies, said Chairman Hochberg. Significant infrastructure developments are planned throughout Vietnam over the next several years, and I'm here to ensure that American companies invest in those projects, and that we maintain a dynamic and comprehensive partnership.
Vietnam is one of nine key markets (others are Brazil, Colombia, Mexico, Turkey, South Africa, Nigeria, India, and Indonesia) where Ex-Im Bank is focusing its business-development efforts because of the country's infrastructure and development needs. Ex-Im Bank's current exposure to Vietnam is $175.8 million.
Asia is Ex-Im's largest regional market, representing nearly a quarter of the Bank's portfolio. Last year, Ex-Im Bank provided approximately $7 billion in financing in the region.
U.S. small and mid-sized businesses interested in obtaining financing support for sales to Vietnam and other key countries should contact their Regional Export Finance Center at 1-800-565-EXIM (3946) and selecting option 2.
Vietnamese businesses interested in learning about competitive financing that may be available for purchases of U.S. goods and services should contact the U.S. Foreign Commercial Service office in Hanoi at 4-3850-5199 and Ho Chi Minh City at 8-3520-4680.
About Ex-Im Bank:
Ex-Im Bank is an independent federal agency that helps create and maintain U.S. jobs by filling gaps in private export financing at no cost to American taxpayers. In the past six years, Ex-Im Bank has earned for U.S. taxpayers $3.7 billion above the cost of operations. The Bank provides a variety of financing mechanisms, including working capital guarantees, export-credit insurance and financing to help foreign buyers purchase U.S. goods and services.
Ex-Im Bank approved $32.7 billion in total authorizations in FY 2011 -- an all-time Ex-Im record. This total includes more than $6 billion directly supporting small-business export sales -- also an Ex-Im record. Ex-Im Bank's total authorizations are supporting an estimated $41 billion in U.S. export sales and approximately 290,000 American jobs in communities across the country. For more information, visit www.exim.gov.