MIL OSI Translation. Region: Germany / Deutschland –
Source: Federal Ministry of Finance The EU Commission decided on October 13th, 2020 to extend the existing exemptions for state aid until June 30th, 2021. These were originally due to expire at the end of the year. Thanks to this exception, export transactions on short-term payment terms (up to 24 months) within the EU and in selected OECD countries can still be secured with state export credit guarantees. Transactions on short-term payment terms normally apply to exports to these countries as “marketable”, so that protection by state export credit insurance is not permitted. The EU Commission has now suspended this regulation until June 30, 2021. The extended coverage options apply to all 27 EU countries as well as Australia, Iceland, Japan, Canada, New Zealand, Norway, Switzerland, the USA and the United Kingdom. The early extension of the exemptions by the European Commission was a particular concern of the German EU Presidency of the Council. It represents an important contribution to strengthening the export economy in the current crisis. Due to the lack of protection options for “marketable risks” on the part of the private insurance industry, exporters in the current situation are particularly dependent on government protection options in this area. These are now still available.
EDITOR’S NOTE: This article is a translation. Apologies should the grammar and / or sentence structure not be perfect.