Short-term Export Credit Insurance Financing

Credit Loan under the Short-term Export Credit Insurance plays an important role in supporting financing for export enterprises, particularly for those small and medium-sized export firms that are difficult to obtain loans. Credit Loan under Short-term Export Credit Insurance is a good way to decrease the risk of calling back loans from overseas and is a good way to solve the problem of shortage in liquidity. When international market is becoming increasingly fierce, for small and medium-sized enterprises, it is a good use of new financial instruments to expand overseas markets. It will be easier for bank to grant exporters loans if the bank confirms it under the protection of export credit insurance. But in short-term export credit insurance, there are some exemption clauses beyond the control of the bank, so there still exists a certain degree of risk in trade financing. Export and Credit Insurance Corporation should pay attention to reminding the banks of all these risks, when necessary, it is better to make recommendations to assist the banks guard against risks. In the short term, Export and Credit Insurance Corporation helps the banks to prevent risks, which is the strategy of"honesty"; In the long run, it will undoubtedly enhance its growth in business volume. The improvement in authenticity of the export trade contracts, the development in risks prevention of banks, the cooperation between Export Credit Insurance Corporation and banks and insurance policies will promote export financing and spur the development of China's export trade.