Quarterly Default Rate Declines – a Testament to Strong EXIM Underwriting
FOR IMMEDIATE RELEASE March 5, 2020
Office of Communications (202) 565-3207
Washington, D.C. – The Board of Directors of the Export-Import Bank of the United States (EXIM) held its first 2020 quarterly meeting of the agency’s Risk Management Committee, the first since EXIM’s historic seven-year reauthorization. At the meeting, senior staff briefed the board of directors on the creditworthiness of EXIM’s portfolio and the internal controls put in place to mitigate the risks of doing business in international markets.
EXIM’s quarterly default rate of 0.452 percent, as of December 31, 2019, also was announced at the meeting. This is a decrease from 0.497 percent, as reported September 30, 2019.
“EXIM is committed to protecting the American taxpayer,” said Chairman Reed. “That starts with strong underwriting and diligent review of our portfolio. I am dedicated to ensuring EXIM always implements best practices in risk management and internal controls to further our mission of supporting U.S. jobs by facilitating exports.”
Members of EXIM’s senior staff also updated the board of directors on the potential impact of the COVID-19 Coronavirus on EXIM’s activities. An EXIM task force, led by Chief of Staff David Fogel and Chief Management Officer Adam Martinez, is monitoring the situation and any potential impact to EXIM’s portfolio. EXIM takes the Coronavirus extremely seriously and stands ready, as part of a whole-of-government approach, to ensure the health and well-being of the American people.
EXIM is an independent federal agency that promotes and supports American jobs by providing competitive and necessary export credit to overseas purchasers of U.S. goods and services. A robust EXIM can level the global playing field for U.S. exporters when they compete against foreign companies that receive support from their governments. EXIM also contributes to U.S. economic growth by helping to create and sustain hundreds of thousands of jobs in exporting businesses and their supply chains across the United States. In FY 2019, over 89 percent of EXIM’s transactions – more than 2,100 – directly supported American small businesses. Since 1992, EXIM has generated more than $9 billion for the U.S. Treasury for repayment of U.S. debt.
For more information about EXIM, please visit www.exim.gov.