Trade Finance in Crisis : Should Developing Countries Establish Export Credit Agencies?
New data on export insurance and guarantees suggest that publicly backed export credit agencies have played a role to prevent a complete drying up of trade finance markets during the current financial crisis. Given that export credit agencies are m...
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
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World Bank, Washington, DC
2014
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| Online Access: | http://documents.worldbank.org/curated/en/2010/01/11604552/trade-finance-crisis-developing-countries-establish-export-credit-agencies http://hdl.handle.net/10986/19946 |
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okr-10986-19946 |
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oai_dc |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
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World Bank Open Knowledge Repository |
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World Bank |
| language |
English en_US |
| topic |
ACCESS TO EXTERNAL FINANCE ACCESS TO FINANCE AMOUNT OF CREDIT BALANCE OF PAYMENT BALANCE SHEETS BANK POLICY BANKING ASSETS BANKING SYSTEM BANKING SYSTEMS BENEFICIARIES BORROWER BORROWING BROAD MONEY CAPITAL LOANS CAPITAL STOCK CHAMBER OF COMMERCE CODE OF CONDUCT COLLATERAL COMMERCIAL BANK COMMERCIAL BANKING COMMERCIAL BANKS COMPETITIVE MARKETS CORPORATE GOVERNANCE CREDIT AGENCIES CREDIT AGENCY CREDIT ARRANGEMENTS CREDIT AVAILABILITY CREDIT CULTURE CREDIT GUARANTEE CREDIT POLICY CREDIT RATINGS CREDIT RISK CREDIT RISKS CREDIT SPREADS CROSS-BORDER TRANSACTIONS DEPOSITS DEVELOPING COUNTRIES DEVELOPING COUNTRY DEVELOPMENT FINANCE DEVELOPMENT FINANCE INSTITUTIONS DIRECT CREDIT DOMESTIC CREDIT DOMESTIC ECONOMY DOMESTIC MARKETS ECONOMIC ACTIVITIES ECONOMIC ACTIVITY ECONOMIC CRISIS ECONOMIC DEVELOPMENT EMERGING ECONOMIES EMERGING MARKETS ENVIRONMENTAL EXTERNALITIES EXPENDITURE EXPORT BASE EXPORT COMPETITIVENESS EXPORT CREDIT EXPORT CREDITS EXPORT FINANCING EXPORT MARKETS EXPORT SECTOR EXPORTER EXPORTERS EXPOSURE EXTERNAL FINANCE FINANCE INITIATIVE FINANCE PRODUCTS FINANCIAL CAPACITY FINANCIAL CRISIS FINANCIAL DEPTH FINANCIAL INSTITUTION FINANCIAL INSTITUTIONS FINANCIAL INSTRUMENT FINANCIAL MARKET FINANCIAL MARKETS FINANCIAL OBLIGATION FINANCIAL PRODUCTS FINANCIAL REGULATION FINANCIAL RESOURCES FINANCIAL SECTOR FINANCIAL SYSTEM FINANCIAL SYSTEMS FLOWS OF CAPITAL FOREIGN BUYER FOREIGN COMPANY FOREIGN TRADE GLOBAL TRADE GOOD GOVERNANCE GOVERNANCE PRACTICES GOVERNMENT INTERVENTION GOVERNMENT INVOLVEMENT GROWTH RATES GUARANTEE SCHEME GUARANTOR INCOME INCOME GROUPS INDUSTRIAL COUNTRIES INFORMATION ASYMMETRIES INSTITUTIONAL CAPACITY INSURANCE INSURANCE INDUSTRY INSURER INSURERS INTEREST RATE INTEREST RATES INTERNATIONAL BANK INTERNATIONAL COMPETITION INTERNATIONAL ECONOMICS INTERNATIONAL LAW INTERNATIONAL MARKETS INTERNATIONAL TRADE INVESTMENT FINANCE ISSUANCE LETTER OF CREDIT LETTERS OF CREDIT LIQUIDITY LIQUIDITY CRISIS LOAN LONG-TERM FINANCE LOW-INCOME COUNTRIES LOW-INCOME ECONOMIES MARKET FAILURE MARKET FAILURES MARKET PARTICIPANTS MARKET REGULATION MATURITIES MATURITY MIDDLE-INCOME COUNTRIES MIDDLE-INCOME ECONOMIES NATIONAL SECURITY OPERATIONAL INDEPENDENCE OUTSOURCING PERFORMANCE BOND PLEDGES POLITICAL ECONOMY POOL OF FUNDS PORTFOLIOS PRINCIPAL-AGENT PROBLEMS PRIVATE BANKS PRIVATE FINANCIAL INSTITUTIONS PRIVATE MARKET PRIVATE PARTIES PRIVATE SECTOR CREDIT PROBABILITY OF DEFAULT PRUDENTIAL REGULATION PUBLIC AGENCIES REAL SECTOR RECESSION REGULATOR REGULATORS RESOURCE ALLOCATION RISK MANAGEMENT RISK MANAGEMENT TOOLS RISK OF DEFAULT RISK PREMIA RULE OF LAW RURAL CREDIT RURAL CREDIT MARKETS SAVINGS SECONDARY MARKET SOCIAL COST SOVEREIGN DEBT SOVEREIGN DEBT PROBLEMS SPECIAL FINANCING STATE GUARANTEES STATE INTERVENTION STRONG GOVERNANCE SUPPLY OF CREDIT SYSTEMIC RISK TERM CREDIT TRADE CREDIT TRADE FINANCE TRADE FINANCING TRADE FLOWS TRADE POLICIES TRADE SECTORS TRADING TRADING SYSTEM TRANSACTION TREATY UNDERWRITER UNION WORKING CAPITAL WORLD ECONOMY WORLD TRADE |
| spellingShingle |
ACCESS TO EXTERNAL FINANCE ACCESS TO FINANCE AMOUNT OF CREDIT BALANCE OF PAYMENT BALANCE SHEETS BANK POLICY BANKING ASSETS BANKING SYSTEM BANKING SYSTEMS BENEFICIARIES BORROWER BORROWING BROAD MONEY CAPITAL LOANS CAPITAL STOCK CHAMBER OF COMMERCE CODE OF CONDUCT COLLATERAL COMMERCIAL BANK COMMERCIAL BANKING COMMERCIAL BANKS COMPETITIVE MARKETS CORPORATE GOVERNANCE CREDIT AGENCIES CREDIT AGENCY CREDIT ARRANGEMENTS CREDIT AVAILABILITY CREDIT CULTURE CREDIT GUARANTEE CREDIT POLICY CREDIT RATINGS CREDIT RISK CREDIT RISKS CREDIT SPREADS CROSS-BORDER TRANSACTIONS DEPOSITS DEVELOPING COUNTRIES DEVELOPING COUNTRY DEVELOPMENT FINANCE DEVELOPMENT FINANCE INSTITUTIONS DIRECT CREDIT DOMESTIC CREDIT DOMESTIC ECONOMY DOMESTIC MARKETS ECONOMIC ACTIVITIES ECONOMIC ACTIVITY ECONOMIC CRISIS ECONOMIC DEVELOPMENT EMERGING ECONOMIES EMERGING MARKETS ENVIRONMENTAL EXTERNALITIES EXPENDITURE EXPORT BASE EXPORT COMPETITIVENESS EXPORT CREDIT EXPORT CREDITS EXPORT FINANCING EXPORT MARKETS EXPORT SECTOR EXPORTER EXPORTERS EXPOSURE EXTERNAL FINANCE FINANCE INITIATIVE FINANCE PRODUCTS FINANCIAL CAPACITY FINANCIAL CRISIS FINANCIAL DEPTH FINANCIAL INSTITUTION FINANCIAL INSTITUTIONS FINANCIAL INSTRUMENT FINANCIAL MARKET FINANCIAL MARKETS FINANCIAL OBLIGATION FINANCIAL PRODUCTS FINANCIAL REGULATION FINANCIAL RESOURCES FINANCIAL SECTOR FINANCIAL SYSTEM FINANCIAL SYSTEMS FLOWS OF CAPITAL FOREIGN BUYER FOREIGN COMPANY FOREIGN TRADE GLOBAL TRADE GOOD GOVERNANCE GOVERNANCE PRACTICES GOVERNMENT INTERVENTION GOVERNMENT INVOLVEMENT GROWTH RATES GUARANTEE SCHEME GUARANTOR INCOME INCOME GROUPS INDUSTRIAL COUNTRIES INFORMATION ASYMMETRIES INSTITUTIONAL CAPACITY INSURANCE INSURANCE INDUSTRY INSURER INSURERS INTEREST RATE INTEREST RATES INTERNATIONAL BANK INTERNATIONAL COMPETITION INTERNATIONAL ECONOMICS INTERNATIONAL LAW INTERNATIONAL MARKETS INTERNATIONAL TRADE INVESTMENT FINANCE ISSUANCE LETTER OF CREDIT LETTERS OF CREDIT LIQUIDITY LIQUIDITY CRISIS LOAN LONG-TERM FINANCE LOW-INCOME COUNTRIES LOW-INCOME ECONOMIES MARKET FAILURE MARKET FAILURES MARKET PARTICIPANTS MARKET REGULATION MATURITIES MATURITY MIDDLE-INCOME COUNTRIES MIDDLE-INCOME ECONOMIES NATIONAL SECURITY OPERATIONAL INDEPENDENCE OUTSOURCING PERFORMANCE BOND PLEDGES POLITICAL ECONOMY POOL OF FUNDS PORTFOLIOS PRINCIPAL-AGENT PROBLEMS PRIVATE BANKS PRIVATE FINANCIAL INSTITUTIONS PRIVATE MARKET PRIVATE PARTIES PRIVATE SECTOR CREDIT PROBABILITY OF DEFAULT PRUDENTIAL REGULATION PUBLIC AGENCIES REAL SECTOR RECESSION REGULATOR REGULATORS RESOURCE ALLOCATION RISK MANAGEMENT RISK MANAGEMENT TOOLS RISK OF DEFAULT RISK PREMIA RULE OF LAW RURAL CREDIT RURAL CREDIT MARKETS SAVINGS SECONDARY MARKET SOCIAL COST SOVEREIGN DEBT SOVEREIGN DEBT PROBLEMS SPECIAL FINANCING STATE GUARANTEES STATE INTERVENTION STRONG GOVERNANCE SUPPLY OF CREDIT SYSTEMIC RISK TERM CREDIT TRADE CREDIT TRADE FINANCE TRADE FINANCING TRADE FLOWS TRADE POLICIES TRADE SECTORS TRADING TRADING SYSTEM TRANSACTION TREATY UNDERWRITER UNION WORKING CAPITAL WORLD ECONOMY WORLD TRADE Chauffour, Jean-Pierre Saborowski, Christian Soylemezoglu, Ahmet I. Trade Finance in Crisis : Should Developing Countries Establish Export Credit Agencies? |
| relation |
Policy Research Working Paper;No. 5166 |
| description |
New data on export insurance and
guarantees suggest that publicly backed export credit
agencies have played a role to prevent a complete drying up
of trade finance markets during the current financial
crisis. Given that export credit agencies are mainly located
in advanced and emerging economies, the question arises
whether developing countries that are not equipped with
these agencies should establish their own agencies to
support exporting firms and avoid trade finance shortages in
times of crisis. This paper highlights a number of issues
requiring attention in the decision whether to establish
such specialized financial institutions. It concludes that
developing countries should consider export credit agencies
only when certain pre-requirements in terms of financial
capacity, institutional capability, and governance are met. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Chauffour, Jean-Pierre Saborowski, Christian Soylemezoglu, Ahmet I. |
| author_facet |
Chauffour, Jean-Pierre Saborowski, Christian Soylemezoglu, Ahmet I. |
| author_sort |
Chauffour, Jean-Pierre |
| title |
Trade Finance in Crisis : Should Developing Countries Establish Export Credit Agencies? |
| title_short |
Trade Finance in Crisis : Should Developing Countries Establish Export Credit Agencies? |
| title_full |
Trade Finance in Crisis : Should Developing Countries Establish Export Credit Agencies? |
| title_fullStr |
Trade Finance in Crisis : Should Developing Countries Establish Export Credit Agencies? |
| title_full_unstemmed |
Trade Finance in Crisis : Should Developing Countries Establish Export Credit Agencies? |
| title_sort |
trade finance in crisis : should developing countries establish export credit agencies? |
| publisher |
World Bank, Washington, DC |
| publishDate |
2014 |
| url |
http://documents.worldbank.org/curated/en/2010/01/11604552/trade-finance-crisis-developing-countries-establish-export-credit-agencies http://hdl.handle.net/10986/19946 |
| _version_ |
1764444125203005440 |
| spelling |
okr-10986-199462021-04-23T14:03:52Z Trade Finance in Crisis : Should Developing Countries Establish Export Credit Agencies? Chauffour, Jean-Pierre Saborowski, Christian Soylemezoglu, Ahmet I. ACCESS TO EXTERNAL FINANCE ACCESS TO FINANCE AMOUNT OF CREDIT BALANCE OF PAYMENT BALANCE SHEETS BANK POLICY BANKING ASSETS BANKING SYSTEM BANKING SYSTEMS BENEFICIARIES BORROWER BORROWING BROAD MONEY CAPITAL LOANS CAPITAL STOCK CHAMBER OF COMMERCE CODE OF CONDUCT COLLATERAL COMMERCIAL BANK COMMERCIAL BANKING COMMERCIAL BANKS COMPETITIVE MARKETS CORPORATE GOVERNANCE CREDIT AGENCIES CREDIT AGENCY CREDIT ARRANGEMENTS CREDIT AVAILABILITY CREDIT CULTURE CREDIT GUARANTEE CREDIT POLICY CREDIT RATINGS CREDIT RISK CREDIT RISKS CREDIT SPREADS CROSS-BORDER TRANSACTIONS DEPOSITS DEVELOPING COUNTRIES DEVELOPING COUNTRY DEVELOPMENT FINANCE DEVELOPMENT FINANCE INSTITUTIONS DIRECT CREDIT DOMESTIC CREDIT DOMESTIC ECONOMY DOMESTIC MARKETS ECONOMIC ACTIVITIES ECONOMIC ACTIVITY ECONOMIC CRISIS ECONOMIC DEVELOPMENT EMERGING ECONOMIES EMERGING MARKETS ENVIRONMENTAL EXTERNALITIES EXPENDITURE EXPORT BASE EXPORT COMPETITIVENESS EXPORT CREDIT EXPORT CREDITS EXPORT FINANCING EXPORT MARKETS EXPORT SECTOR EXPORTER EXPORTERS EXPOSURE EXTERNAL FINANCE FINANCE INITIATIVE FINANCE PRODUCTS FINANCIAL CAPACITY FINANCIAL CRISIS FINANCIAL DEPTH FINANCIAL INSTITUTION FINANCIAL INSTITUTIONS FINANCIAL INSTRUMENT FINANCIAL MARKET FINANCIAL MARKETS FINANCIAL OBLIGATION FINANCIAL PRODUCTS FINANCIAL REGULATION FINANCIAL RESOURCES FINANCIAL SECTOR FINANCIAL SYSTEM FINANCIAL SYSTEMS FLOWS OF CAPITAL FOREIGN BUYER FOREIGN COMPANY FOREIGN TRADE GLOBAL TRADE GOOD GOVERNANCE GOVERNANCE PRACTICES GOVERNMENT INTERVENTION GOVERNMENT INVOLVEMENT GROWTH RATES GUARANTEE SCHEME GUARANTOR INCOME INCOME GROUPS INDUSTRIAL COUNTRIES INFORMATION ASYMMETRIES INSTITUTIONAL CAPACITY INSURANCE INSURANCE INDUSTRY INSURER INSURERS INTEREST RATE INTEREST RATES INTERNATIONAL BANK INTERNATIONAL COMPETITION INTERNATIONAL ECONOMICS INTERNATIONAL LAW INTERNATIONAL MARKETS INTERNATIONAL TRADE INVESTMENT FINANCE ISSUANCE LETTER OF CREDIT LETTERS OF CREDIT LIQUIDITY LIQUIDITY CRISIS LOAN LONG-TERM FINANCE LOW-INCOME COUNTRIES LOW-INCOME ECONOMIES MARKET FAILURE MARKET FAILURES MARKET PARTICIPANTS MARKET REGULATION MATURITIES MATURITY MIDDLE-INCOME COUNTRIES MIDDLE-INCOME ECONOMIES NATIONAL SECURITY OPERATIONAL INDEPENDENCE OUTSOURCING PERFORMANCE BOND PLEDGES POLITICAL ECONOMY POOL OF FUNDS PORTFOLIOS PRINCIPAL-AGENT PROBLEMS PRIVATE BANKS PRIVATE FINANCIAL INSTITUTIONS PRIVATE MARKET PRIVATE PARTIES PRIVATE SECTOR CREDIT PROBABILITY OF DEFAULT PRUDENTIAL REGULATION PUBLIC AGENCIES REAL SECTOR RECESSION REGULATOR REGULATORS RESOURCE ALLOCATION RISK MANAGEMENT RISK MANAGEMENT TOOLS RISK OF DEFAULT RISK PREMIA RULE OF LAW RURAL CREDIT RURAL CREDIT MARKETS SAVINGS SECONDARY MARKET SOCIAL COST SOVEREIGN DEBT SOVEREIGN DEBT PROBLEMS SPECIAL FINANCING STATE GUARANTEES STATE INTERVENTION STRONG GOVERNANCE SUPPLY OF CREDIT SYSTEMIC RISK TERM CREDIT TRADE CREDIT TRADE FINANCE TRADE FINANCING TRADE FLOWS TRADE POLICIES TRADE SECTORS TRADING TRADING SYSTEM TRANSACTION TREATY UNDERWRITER UNION WORKING CAPITAL WORLD ECONOMY WORLD TRADE New data on export insurance and guarantees suggest that publicly backed export credit agencies have played a role to prevent a complete drying up of trade finance markets during the current financial crisis. Given that export credit agencies are mainly located in advanced and emerging economies, the question arises whether developing countries that are not equipped with these agencies should establish their own agencies to support exporting firms and avoid trade finance shortages in times of crisis. This paper highlights a number of issues requiring attention in the decision whether to establish such specialized financial institutions. It concludes that developing countries should consider export credit agencies only when certain pre-requirements in terms of financial capacity, institutional capability, and governance are met. 2014-09-02T21:04:51Z 2014-09-02T21:04:51Z 2010-01 http://documents.worldbank.org/curated/en/2010/01/11604552/trade-finance-crisis-developing-countries-establish-export-credit-agencies http://hdl.handle.net/10986/19946 English en_US Policy Research Working Paper;No. 5166 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research |