Government Assistance Programs Using Government Assistance Program
Several federal, state, and local government agencies offer programs to assist exporters with their financing needs. Some are guarantee programs that require the participation of an approved lender; others provide loans or grants to the exporter or to a foreign government.
Many companies whose products you use everyday take advantage of U.S. government assistance to export more easily, increase sales, and add U.S. jobs. |
Government programs generally aim to improve exporters’ access to credit rather than to subsidize the cost at below-market levels. With few exceptions, banks are allowed to charge market interest rates and fees, including those paid to the government agencies to cover the agencies’ administrative costs and default risks. Commercial banks use government guarantee and insurance programs to reduce the risk associated with loans to exporters.