The Government proposes an increase in EKN’s guarantee limit

The need for EKN is higher in difficult times and the Swedish Government proposes in a bill to the Parliament to increase EKN’s statutory limit. EKN is preparing adjustments and extensions to accommodate the anticipated growth in demand.

The Swedish Government has announced it will propose an increase of EKN’s statutory limit to the Parliament. EKN anticipates an increased demand comparable to the financial crisis of 2008 when the export credit guarantee limit was extended to 500 billion SEK. The Government now proposes that a similar action is undertaken.

“We maintain a continuous dialogue with companies of all sizes throughout the nation, as well as with banks,” says Anna-Karin Jatko, Director General at EKN. “The demand scenario is subject to rapid change and on Friday, the Board of EKN will discuss proposals related to adjustments and extensions of the financing solutions that are urgently required in order to meet changing needs.”

The Government notes in a statement that “the current crisis affects infrastructure that is essential to society from a broad perspective. One example is shipping, where credit guarantees can be handled by EKN. But for EKN to be able to fulfil its purpose to support Swedish export including the shipping industry, we propose that EKN’s statutory limit is raised by a further 50 billion SEK.”