Standpoint: Export credits and export credit insurance
"The world of exports has changed. In the past, exports were mainly handled through exporters' sales activities. Today, the emancipated importer abroad decides whom to buy from because exporters are queuing up to sell to him. The financing options also play a role in the selection process."
KfW IPEX-Bank is a sought-after expert in the structuring of export financing. In an interview with VDI Nachrichten, Dr Nadja Marschhausen explains what the particular challenges of export credits are and why export credit insurance, e.g. from Euler Hermes, is often used.
"Credit insurance protects against non-payment for economic and political reasons in international business, especially in difficult and risky markets. This can be done with state export credit insurance (Hermes cover), private credit insurers or other insurance policies."