M-346 receives a second export order A traditional participant in the leading international air shows in recent years is the Italian jet trainer and combat trainer M-346 Master, promoted to the market by Alenia Aermacchi (part of the Finmeccanica group). As is known,

Export terrorism

Export terrorism Conversations about international terrorism are one of the most favorite topics of our statesmen. Is there any reason to talk specifically about international terrorism in Russia? After all, the majority of terrorists in Russia are Chechens or Caucasians, very rarely

MAIN TANK T-72 (export)

MAIN TANK T-72 (export) State of supply for export since 1975. Developer Uralvagonzavod Design Bureau Manufacturer Uralvagonzavod Production series since 1975 Combat weight, t 41.5 Length, mm: – with gun forward. 9530 – housing 6860 Width, mm 3570 Height to tower roof, mm 2208 Ground clearance, mm. ,

MAIN TANK T-72M (export)

MAIN TANK T-72M (export) Condition released in 1980 by developer. Design Bureau Uralvagonzavod Manufacturer UralvagonzavodProduction. . series Combat weight, t 41 Length, mm: – with gun forward 9530 – hull 6860 Width, mm 3590 Tower roof height^ mm 2190 Ground clearance, mm. 470Wed. beat pressure on

MAIN TANK T-72M1 (export)

MAIN TANK T-72M1 (export) Condition released in 1982, developed by Uralvagonzavod Design Bureau, Manufacturer UralvagonzavodProduction. series Combat weight, t 41.5 Length, mm: – with gun forward. 9530 – housing 6860 Width, mm 3590 Height to tower roof, mm 2190 Ground clearance, mm. 470Wed. beat pressure on

MAIN TANK T-72S (export)

MAIN TANK T-72S (export) Condition created in 1987 by developer. Design Bureau Uralvagonzavod Manufacturer UralvagonzavodProduction. . series Combat weight, t 44.5 Length, mm: – with gun forward. 9530 – housing 6860 Width, mm 3590 Height to tower roof, mm 2222 Ground clearance, mm. 490Wed. beat pressure

It is assumed that the production of advanced types of weapons, the aerospace and nuclear industries will adhere to the strategy of advanced frontiers, which provides for the creation of new products and technologies, markets. These industries are subject to government investment and procurement, subsidies and export credits. At the same time, the state will prevent foreign investment in this area, since it will be dictated by political conditions reflecting the interests of foreign competitors.  

A modern comprehensive system for accelerating the sale of goods on the world market includes economic stimulation of exports, administrative measures to influence exports, as well as the use of moral incentives for exporters. The main role in this system is played by economic instruments - credit and financial. Credit funds are used mainly in two forms: providing export loans on the most favorable terms and insuring export operations.  

In real conditions, it is advisable to pursue a policy of forming support centers of reliability for foreign investors with a gradual expansion of the circle of participants. For these purposes, it is promising to use the opportunity of foreign export credit insurers and establish comprehensive cooperation between foreign banks and credit insurers with large Russian banks and insurers with the active involvement of international insurance brokers.  

To attract investment into the Russian economy, it is necessary, first of all, to eliminate the so-called political risk. However, national insurers of foreign export credits cannot diversify their risk portfolios in favor of only one country. Therefore, it is necessary to create additional insurance capacities for Russia, which can only appear on the basis of an international insurance agency, which is under international control and unites all parties interested in investing in Russia. Participation in such an agency by private Russian organizations is possible, but it will not replace the necessary participation of the Russian government and regional authorities, who, by their contributions to the agency’s authorized fund, must demonstrate the seriousness of their intention to bear risks on an equal basis with foreign investors. Only joint efforts will help quickly create an effective insurance mechanism for attracting credit funds to the regions, and, consequently, to the economy of the entire country.  

An important object of regulation is the trade balance. In modern conditions, state regulation covers not only the sphere of circulation, but also the production of export goods. Stimulating exports at the stage of selling goods is carried out by influencing prices (providing tax and credit benefits to exporters, changing the exchange rate, etc.). To create a long-term interest of exporters in the export of goods and the development of foreign markets, the state provides targeted export loans, insures them against economic and political risks, introduces a preferential regime for depreciation of fixed capital, and provides them with other financial and credit benefits in exchange for an obligation to carry out a certain export program.  

The state, by exempting exporters from paying indirect and some direct taxes, helps reduce the prices of exported goods, increasing their competitiveness. According to international practice, goods crossing the border may be exempt from indirect taxes. Although the GATT, transformed into the WTO in 1995, prohibits export subsidies, the state actively influences the size and conditions of export credits, especially medium- and long-term ones. At the expense of the state budget, private firms and banks are provided with preferential low-interest export loans. In the 70s, in leading countries the gap between rates on export and other loans reached 1.5-2 points. The state extends the term of lending to exporters, facilitates and simplifies the procedure for obtaining loans. Preferential conditions for export loans were maintained even with credit and currency restrictions in the country.  

To encourage the expansion of monopolies in foreign markets, state or semi-state export-import (foreign trade) banks have been created, which provide lending and insurance for foreign economic transactions, and guarantee export loans from private banks. The purpose of creating these specialized banks is to provide exporters with access to credit, which is an important means of competition along with price, quality and services, and thereby stimulate national exports. Export-import banks are designed to complement and encourage the activities of private capital, without competing with it, and jointly stimulate exports.  

Since the 70s, there have been changes in the structure of EIB operations along the line of their reorientation from credit to guarantee and insurance, which reached 3/4 of the bank’s annual transactions. This is due to an increase in private export loans and increased risk in international credit relations. EIB bank guarantees cover up to 90% of credit risk, ensuring the repayment of commercial bank loans by importers or their home banks (for a period of 181 days to 5 years). The guarantee fee is differentiated based on the perceived risk.  

Bank lending. For a long time, developing countries, using OFF and direct project investment, were poorly connected to the world credit and stock markets. Until the early 70s, the main, albeit weak, thread that connected developing countries with the world capital market was export credits.  

Export lending falls into the mixed category, since both private entities (mainly commercial banks) and the state, usually represented by export-import banks, participate in it. The participation of banks in export loans determines the dependence of their conditions on the state of the credit market. State participation makes it possible to soften conditions and use these loans to conquer markets. Such actions, creating a danger of competition, forced creditor countries to enter into a gentlemen's agreement (consensus) on the permissible limits of preferential lending. In accordance with the situation on the global credit market, the lower limit of the interest rate, the maximum loan term and the maximum grace period are agreed upon every six months.  

Export credits are usually provided for the supply of machinery and equipment. Therefore, their volume is related to the investment process. Export bank loans are usually insured  

Since insurance compensates for losses, payments from the insurer to the policyholder are called insurance compensation. The condition of the export credit insurance contract is the waiting period for payment, since the insurer’s responsibility begins at a certain time or on a certain date, or after 60-90 days to determine the reasons for the borrower’s non-payment of the loan amount. Due to the fact that the insured amounts exceed the financial capabilities of one insurance company (up to $100 million when insuring a plant or an airliner), co-insurance and reinsurance are widely practiced. With co-insurance, the object is insured on the same terms by several insurers, each of which accepts a certain share of rights and obligations (from 50 to 0.1% of the insured amount), but is not responsible for the actions of other insurers (in case of bankruptcy). Reinsurance is the transfer by an insurance company of a certain share of its obligations and premiums to the reinsurer.  

CREDITING AN IMPORTER AT THE EXPENSE OF AN EXPORT CREDIT AGENCY USING A SWAP TRANSACTION  

The Export Credit Agency immediately pays the exporter as the goods are delivered. 2. The importer (borrower) signs a loan agreement with the lender - the Export Credit Agency. 3. The importer provides acceptable security. 4. The Export Credit Agency provides a guarantee to the swap bank, if necessary. 5. The swap bank enters into a swap agreement with the importer and identifies a suitable partner with whom it signs the swap agreement. 6. Usually the exporter is not responsible for the transaction. However, the swap bank may require corresponding obligations from the exporter. If the importer does not comply with the terms of the swap agreement, the swap bank  

Trade and Development Council (two sessions per year). Problems of the global monetary system are discussed in the Committee on Invisible Items and World Trade Related Financing, Official Development Assistance. He also deals with the problems of developing countries' access to the world capital market, export credit guarantees, and, since the mid-70s, the external debt of developing countries (based on the mandate of UNCTAD).  

Since the predominant part of the IBRD's resources is mobilized in the global financial market by issuing bonds, the cost of its loans is determined by the conditions of this market. Loan terms are reviewed twice a year. Making a profit is not the main motive in the activities of the IBRD. However, it consistently trims its balance sheet to profit. The spread is usually set at 0.25-0.5%. For many countries this is significantly lower than for bank loans. Unlike loans from commercial banks, the IBRD sets the spread regardless of the solvency of the borrowers. Loans are provided for a period of 12 to 20 years, the grace period is 3-5 years, which exceeds the terms of bank and export loans.  

The EBRD does not issue export credit guarantees or provide insurance. In general, during the period from the formation of the EBRD to 1999, the EBRD Board of Directors approved over 800 projects worth over $55 billion. The most important areas of the EBRD's credit and financial policy are the financial sector, energy, telecommunications infrastructure, transport and agribusiness. The area of ​​privatization stands apart.  

Bank loans. The influx of external financial resources into the USSR occurred mainly through syndicated loans from international banks and export loans. Banks, not without reason, considered the USSR as a reliable debtor. However, after serious violations in servicing external debt in 1991-1992. banks sharply reduced their lending volumes. The net inflow of bank loans in 1994 was close to zero, and in 1995 it was negative.  

The flow of medium-term and long-term banking resources resumed both in the form of syndicated (consortium) loans and export loans. In Soviet times, the government widely resorted to attracting syndicated loans, which resulted in a debt of $28 billion. However, the Russian central authorities practically did not resort to such loans, preferring the other forms of external borrowing noted above. In addition, as world experience shows, international banks themselves try not to deal with borrowers who violated debt service schedules. Therefore, in Russia, commercial banks, as well as some large companies and individual regions, became the main recipients of syndicated bank loans. A significant advantage of a syndicated loan is that it is provided in an untied form and usually without guarantees.  

An export loan, unlike a syndicated one, is of a tied nature and from this point of view it is less attractive for the borrower. A loan is issued by a bank in the exporting country, usually directly to the importer-borrower to finance supplies of goods, usually machinery and equipment. The borrower is required to use the loan to purchase goods from the creditor country. Export loans are usually of an investment nature.  

Such lending, carried out for a period of 5-8 years, is subject to numerous risks. Western states, interested in promoting their equipment to world markets, insure export loans and partially participate in these loans, as a result of which the rates on them are lower than market ones.  

Most export loans are issued against a government or other form of reliable guarantee. The Russian authorities were cautious about export loans, despite their investment nature. This position was argued by the fact that, due to their connectivity, they contribute to the growth of production and increased employment in the creditor country, and not in the recipient country. It can be noted that many other countries with emerging markets prefer other forms of attracting resources for investment needs, and the share of export loans in the flow of financial resources fell in the 90s.  

The government provided in 1993 - 1997. export loan guarantees amounting to $20 billion. However, a significant number of enterprises that received guarantees went bankrupt or disappeared. But even normally operating enterprises poorly fulfill their obligations to the budget. Therefore, in May 1998, the Russian government decided to limit the provision of guarantees for export loans. However, after the financial crisis, when access to other financial resources was limited, this practice was resumed.  

However, for enterprises operating on the domestic market, mutual supply agreements are not very suitable. Project financing is most suitable for them. But in Russian conditions, this method of financing, including the use of export loans, is problematic from the point of view of the technology of its implementation. In addition, it is expensive, requiring large expenses for preliminary examination.  

Forfeiting. This term comes from the French. a forfait (entirely, in total) and denotes the granting of certain rights in exchange for cash payment. In banking practice, this is a purchase for a full term on pre-established terms of bills and other debt obligations. The buyer of the claims assumes commercial risks without the right of recourse (turnover) of these documents to the exporter. In contrast to traditional bill accounting, forfeiting is used a) usually for the supply of equipment for large amounts (minimum amount - 250 thousand dollars) b) with a long deferred payment from 6 months to 5-7 years (in addition to the traditional 90 or 180 days) ) contains the guarantee or aval of a first-class bank necessary for the rediscounting of bills. The forfetor acquires debt claims minus interest for the entire term. Thus, the export transaction turns from a credit transaction into a cash transaction, which is beneficial for the exporter. Bills of exchange are discounted at a fixed rate, indexed to the LIBOR rate, or to the rate of a specific country. The size of the discount (discount) depends on the risk of non-payment, payment currency, and the term of the bill. Thus, export forfeiting is a non-recourse accounting of the exporter’s claims to a foreign importer for a predetermined amount. Forfeiting complements traditional methods of foreign trade lending and state insurance of export loans, as it includes additional risks. Therefore, the forfetor prefers debtors from countries with a high international rating. Initially, forfaiting was used for first-class export operations and for the supply of turnkey plants, in modern conditions - for financing the export of equipment, raw materials, and consumer goods.  

As international experience shows, the state encourages foreign economic activity of enterprises with the help of subsidies, loans, tax,

Often hidden subsidies for exports are carried out through export credits.

Export credit (export credit) – method of financial non-tariff foreign trade policy, which provides
providing financial incentives by the state for the development of exports by national firms .

Export credit can take the form of:

· subsidized loans to national exporters – loans issued by state banks at an interest rate below the market rate;

· government loans to foreign importers subject to the obligatory condition of purchasing goods only from firms in the country that provided such a loan (tied loan);

· insurance of export risks of national exporters , which include commercial risks (the importer's inability to pay for the shipment) and political risks (unexpected government actions that prevent the importer from fulfilling its obligations to the exporter).

Export credits are:

· short-term – for a period of up to 1 year, used to finance the export of consumer goods and raw materials;

· medium term – for a period of 1 to 5 years, used to finance the export of machinery and equipment;

· long-term – for a period of more than 5 years, used to finance the export of investment goods and large projects.

The organizational form of providing export credits, as well as the relationship between export credit agencies and states, is very complex. Such an agency may be a department within a government
government ministry, an independent organization with the rights of a ministry, and even a private company operating under government control. It is not uncommon for national export credit agencies to enter into contractual relationships with each other to finance exports from more than one country, coordinate policies, and exchange information on borrowers. The largest associations of export credit agencies are:

v Export credit group (Export Credit Group) is a group of representatives of governments and export credit agencies within the OECD, which regulates the provision of medium-term export credits for 2 years or more. Among the conditions that the group members agreed to comply with were: payment in cash of at least 15% of the value of the export contract; Loan repayments must occur at regular intervals over a period of
5 years for relatively rich countries and within 10 years for all other countries; minimum interest rates on loans must be related to market rates, the minimum share of the concessional component in the loan is 35% for least developed countries.

v Berne Union– International Union for Credit and Investment Insurance The Bern Union is an advisory body of export credit agencies that serves as a clearinghouse for information exchange in the field of short-term export credit.

Export loans are sometimes considered as a type of external assistance to other countries (example 4.7). The amount of subsidies through preferential lending is calculated as the difference between the interest rate on the preferential loan and the current market interest rate. In banking practice, interest rates on export loans are usually significantly lower than rates on other types of loans and are often the subject of agreement between countries under cartel agreements. In addition, there are numerous non-quantifiable ways to stimulate exports through export loans, as well as postponing the first loan payments to a longer period, paying loans in the buyer’s currency or in the form of commodity supplies, government preferential insurance for export loans, etc.