Export credit guarantees

A Credit Risk Guarantee insures the guarantee holder against credit loss related to an export transaction.

Bill of Exchange Guarantee secures the lender against credit risks arising when the lender purchases a bill of exchange from the exporter.

A Buyer Credit Guarantee is a security to the lender in case of a credit risk caused by a foreign buyer, the buyer's bank or country.

Bank Risk Guarantee protects the bank of a Finnish export company against risks involved in bank guarantees given to the exporter to secure payment of the purchase price.

A Letter of Credit Guarantee protects a bank from commercial and/or political and/or sovereign risks related to a confirmed Letter of Credit.

The guarantee protects the bank against credit risks when the bank purchases invoice receivables from the exporter in connection with foreign trade.

Under a Bond Guarantee, the exporter can insure a bid bond, an advance payment bond, a performance bond or a maintenance period bond issued by a bank in favour of a foreign buyer.

A Finance Guarantee is a security for the credit institution granting an export credit to the exporter. It protects the bank from the risks relating to repayment of the credit. The guarantee helps exporters to arrange security for the financing needed for exports.

An Investment Guarantee can be used by a Finnish investor to insure foreign investments against political risks.

A Raw Material Guarantee (an import credit guarantee) may be issued as security for a loan granted to a foreign borrower in connection with a long-term contract with a Finnish buyer concerning import of raw materials (for example, concentrates for the basic metals industry).

The purpose of Finnvera’s Refinancing Guarantee Scheme is to enable funding for banks using Finnvera’s Buyer Credit Guarantee and to thereby increase the sources of financing for export transactions.