Ex-Im Bank to set up $500 million trade facility in Iraq
The U.S. Export-Import Bank will open a $500 million trade facility with the new Trade Bank of Iraq, said bank president Philip Merrill Wednesday in a speech in Washington.
Under the new program, Ex-Im Bank will insure letters of credit issued through the Trade Bank for up to one year for U.S. exports that contribute to Iraqi reconstruction. Iraqi imports will be funded through the Development Fund for Iraq by current Iraqi oil export revenues.
“This is to be a multilateral institution,” Merrill said. “Many of our sister export credit agencies around the world will also participate. Japan and Italy have been particularly helpful, and have offered $500 million and $250 million, respectively, to support exports into Iraq from their countries.”