Thursday, October 29, 2009
The American Export-Import Bank Provides Financing for Products Being Exported from America to Cambodia – Wednesday, 28.10.2009
Posted on 29 October 2009
The Mirror, Vol. 13, No. 636
(Posted by CAAI News Media)
“Phnom Penh: The American Export-Import Bank of the United States of America announced on 27 October that it will provide financing for the purchase of products from the United States of America to buyers in the private sector in Cambodia, with the condition that the payments back have to be done within a period of seven years.
“This announcement follows a statement by US President Obama from June 2009, saying that Cambodia and Laos were no longer considered as countries following the ideology of Marxism-Leninism, referenced in section 2(b)(2B)(i) of the 1945 law about the American Export-Import Bank, which was amended. Before the decision of the president, the American Export-Import Bank was not allowed to provide any financing related to Cambodia because of this ban. The chairman and president of the American Export-Import Bank, Mr. Fred P. Hochberg, said, ‘President Obama opened a broader way for American companies that export products to Cambodia, and the Export-Import Bank is ready to help those companies. We are glad to announce that our bank will consider to provide short and medium terms financing for buyers of American products in the private sector of the expanding Asian market.’
“Different US agencies, including the American Export-Import Bank, have cooperated with other related agencies to check and assess the business hazards in Cambodia and in Laos, and they assessed also the hazards of doing business with the private sector in Cambodia. Laos remains under observation, and the American Export-Import Bank has not yet been involved in Laos, except for some financial operators, until the assessments finish.
“The American Export-Import Bank operates in Cambodia in the private sector only, to provide short term financing (to be paid back within one year), and medium term financing (to be paid back within seven years) for products exported from the USA. The assistance of the American Export-Import Bank for access to markets is limited to only business operators with commercial banks as legal guarantors. However, the American Export-Import Bank will consider business operations without the involvement of a bank as special cases.
“The American Export-Import Bank might consider also offering financing of products exported from the USA to buyers in the private sector in Cambodia with longer terms under clearly defined conditions. For instance, businesses which can receive financing are financial operations which are organized properly to seek income in foreign countries and have assets in bank accounts which the American Export-Import Bank recognizes, and have income from rent or things mortgaged, or a financing structure to handle goods, like commercial airplanes made in the USA.”As for the funds in 2009, after their financial year that came to an end on 30 September 2009, the amount of money that the American Export-Import Bank approved for financing to assist in the export of goods from the United States, amounts to more than US$21 billion.
“The American Export-Import Bank is the official agency that provides export credits from the USA. This independent and autonomously operating agency within the framework of the the US federal government, now 75 years old, helps to create and to support employment in the USA by providing export financing for US products, especially to new markets around the world, by offering guarantees for export credit and for direct loans.”
Kampuchea Thmey, Vol.8, #2083, 28.10.2009
Newspapers Appearing on the Newsstand:Wednesday, 28 October 2009