Case studies: UKEF's global network
Published 28 March 2018
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1. UKEF’s global network
As the UK’s export credit agency, with headquarters in London, UKEF combines the expertise of the City of London and the global reach of the UK government. This makes it a powerful partner to help buyers access the best the UK has to offer.
UKEF has helped a large number of buyers take advantage of borrowing based on the UK’s sovereign credit rating, increasing the finance available to them and at a more competitive rate of interest.
But UKEF offers buyers more than just broad shoulders and deep pockets: it offers innovative problem-solving.
- UKEF helped a buyer in China access UK government-backed loans in Chinese offshore renminbi to buy from a UK supplier – the first export credit agency outside Asia to do so.
- One of West Africa’s largest gold producers came to UKEF for a tailor-made financing structure for a managed supply chain solution to help secure its access to small, specialist UK suppliers.
- UKEF helped a buyer in Dubai with a world-first in Islamic finance, when it provided them with Sharia-compliant asset financing to buy aircraft partly made in the UK.
- A buyer in Ghana has taken advantage of a direct loan from UKEF for one of its projects in Africa - the world’s first upstream oil and gas development transaction where a European export credit agency has supported a major hybrid finance structure, comprising both project finance and reserve-based lending.
It is by being responsive to what the market needs, by not being afraid to innovate, that UKEF can support buyers in their procurement from the UK.
1.1 Quick facts
UK Export Finance:
- works in partnership with over 70 banks or commercial insurers
- has at least £50 billion of support available for UK supplies
- has supported international trade for nearly 100 years
- is open for business in over 200 markets worldwide
- has finance available in 62 currencies
2. Finance for energy projects in Ghana
Jeff Immelt, Chairman and CEO, General Electric (GE):
One of the most flexible credit agencies in the world.
Ghana has the natural resources to end its reliance on energy imports, providing long-term energy security and supporting Ghanaian industrial development. To achieve this it will need to draw upon world class oil and gas supply chains and access reliable finance to support ambitious offshore projects.
The UK’s incredible expertise in offshore oil and gas development will play an important part. And by issuing direct loans to Ghanaian projects we can help provide the finance needed.
UK Export Finance is providing US$400 million of support to Ghana’s Offshore Cape Three Points Project for the subsea production systems. The project will use GE Oil & Gas systems that are transforming energy markets with software-defined machines and solutions that are connected, responsive and predictive. GE Oil & Gas is headquartered in the UK.
This will be UKEF’s first direct loan for a project in Africa, and the world’s first upstream oil and gas development transaction where a European export credit agency has supported a major hybrid finance structure, comprising both project finance and reserve-based lending.
3. Finance for advanced subsea vehicles
Kevin Taylor, Vice President, Subsea Vehicles at Forum Energy Technologies:
Without UKEF support the project would probably not have gone ahead.
Nigeria’s energy sector is the biggest in Africa. It requires the latest technology and a network of suppliers on a global scale. Reliable sources of finance are crucial to its continuing growth.
The UK can supply the cutting-edge technology required by Nigeria to exploit its energy opportunities. By issuing UK sovereign guarantees on loans to Nigerian companies, UKEF can help them access the finance they need.
When Nigerian company Marine Platforms wanted the latest in subsea technology it looked to the UK. To help provide the right finance package, UKEF guaranteed a £14.1 million loan to help it buy from the UK. The competitive interest and payment terms this provided helped Marine Platforms purchase subsea vehicles from UK company Forum Energy Technologies.
The heavy-duty vehicles – designed and built in Yorkshire, England – can operate at depths of up to 3,000 metres, more than 15 times deeper than human divers can reach. They are used to build and manage well-heads on the sea floor, and in the telecoms and renewables industries.
UKEF believes high-quality products like these deserve competitive finance.
3.1 Helping you buy from the UK
UK Export Finance, the UK’s export credit agency, can help you make sure that the high-quality goods and services you source from the UK are accompanied by competitive finance. We provide overseas project sponsors with flexible and innovative long-term financing that makes projects happen. Strategically and operationally aligned with the Department for International Trade, we are the world’s oldest export credit agency, with nearly 100 years’ experience in helping overseas buyers like you.
Get in touch and find out how we could help your business
Email: internationalenquiries@ukexportfinance.gov.uk
Telephone: +44 (0)20 7271 8010