PDF _ 98-568 - Export-Import Bank: Background and Legislative Issues
14-Nov-2001; James Jackson; 6 p.

Abstract: The Export-Import Bank is the chief U.S. government agency that helps finance American exports.1 With a budget of nearly $1 billion, the Bank finances around 2% of U.S. exports a year. Eximbank provides guarantees and insurance to commercial banks to make trade credits available to U.S. exporters. The Bank also offers direct financing to U.S. exporters on a limited basis, primarily to counter subsidized trade credits offered to foreign exporters by their governments. Such government-sponsored trade financing, however, has long been controversial, especially when Congress looks for ways to pare back federal spending. President Bush?s budget for 2002 proposes reducing the subsidy cost of the Bank?s program to $633 million, or 25% below the amount appropriated in FY2001. The House and the Senate have passed different versions of H.R. 2506, which appropriates funds to the Bank and extends its operating charter. Eximbank?s authority expired September 30, 2001; it has operated under a series of continuing resolutions since. This report will be updated as events warrant. Additional information on this and other trade-related issues is available from the CRS Electronic Briefing Book on Trade at: [http://www.congress.gov/brbk/html/ebtra1.html]. [read report]

Topics: Economics & Trade, International Finance, Federal Agencies

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