Financial and Other Constraints Prevent Eximbank From Consistently Offering Competitive Financing for U.S. Exports

The Export-Import Bank of the United States (Eximbank) finances the sale of U.S. exports. Legislation requires Eximbank to provide export financing at interest rates competitive with other countries' government-supported rates. However, financing supported by Eximbank normally includes both Government and commercial loans, and the blended interest rate depends on commercial interest rates as well as Eximbank's lending rates. In some cases, these factors put U.S. exporters at a competitive disadvantage and Eximbank's loans are more expensive than government-supported financing offered by other countries competing for a sale.