ANNOUNCEMENT 20 Jun 2018
Between July 2017 and June 2018, the UK Export Finance agency (UKEF) provided financing to support the construction of a gas-fired power plant in Iraq by UK based company.
NUMBER OF INTERVENTIONS
UK Export Finance agency, Transparency data, UK Export Finance: Businesses supported 2017 to 2018, published on 20 June 2018: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/718494/uk_export_finance_businesses_supported_in_2017_to_2018.csv/preview
UK Export Finance agency, How to access export credit insurance, a guide to UK export finance's export insurance policy, Version 1.0, May 2015: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/562051/UKEF_Broker_toolkit_Oct_2016.pdf
UK Export Finance agency, Guidance, Export Working Capital Scheme, Published 24 April 2013, Last updated 16 October 2017: https://www.gov.uk/guidance/export-working-capital-scheme-overview-and-how-to-apply
On 20 June 2018, the UK Export Finance agency (UKEF) published the list of beneficiaries of trade finance transactions for the year 2017/2018.
One of these beneficiaries was the Ministry of Electricity of Iraq, which was offered a letter of credit guarantee and a supplier credit of a total value of GBP 87,910,650 (USD 116,124,328). The buyer credit finances the construction of a gas-fired power plant in Iraq by Enka UK Construction Ltd.
Given that UKEF does not provide the exact date that the trade finance deal was signed, the most conservative inception date, i.e. the 20 June 2018, was set as the inception date.
The GTA includes various financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.
To be eligible for support from UKEF, the export contract value must have a minimum UK content of 20%. Foreign content imported and utilised as parts or components of the manufacturing process is considered as UK content.