ANNOUNCEMENT 23 Sep 2011In September 2011, the government of Australia announced a change in its trade finance instruments.
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Bank of America Merrill Lynch working with EFIC to support Australian exporters, http://www.efic.gov.au/news/2011mediareleases/Pages/Bank-of-America-Merrill-Lynch-working-with-EFIC-to-support-Australian-exporters.aspx?utm_source=seo&utm_medium=press-release&utm_campaign=seo-efic-press-release-bank-of-america-sep11-110923
In an official media release of 23 September 2011, the Export Finance and Insurance Corporation (EFIC), the Australian Government's export credit agency, announced the signature of a Master Documentary Credit Guarantee Facility with the Bank of America Merrill Lynch (BofAML) to guarantee that Australian businesses will receive payments from their overseas buyers.
BofAML Head of Global Trade & Supply Chain Solutions for Australia, Jonathon Booth, commented 'the documentary credit guarantee provided by EFIC will enhance our ability to support Australian exporters in managing their export payment risk by mitigating the non-payment risk of the documentary credit issuing bank'.
The GTA includes state guarantees and other 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.