Research Report On The Use Of Export Credit Insurance And Financing Of SMEs

With the in-depth development of the reform and opening up as well as the successful accession to the WTO, China’s ability to participate in the global economy continues to improve. As a trading power, the contribution of exports to GDP is very significant. Export enterprises, especially small and medium-sized ones (SMEs), as the pioneer of international trade, are bale to adapt to the changing international market because of their flexible modes of operation. China’s export SMEs play an increasingly important role in promoting employment, stabilizing the economy and export. They have gradually become an important and indispensable force in the national economy.In the context of global financial crisis, small and medium-sized enterprises suffer from many risks. In addition, due to their scale and low credit level, small and medium-sized export enterprises can hardly rely on bank loans to get necessary funds. Financing difficulties have now become a bottleneck that impedes further development of China’s small and medium-sized export enterprises.China Export&Credit Insurance Corporation (SINOSURE) is the specialized agency that provides a solution to the financing difficulty of these enterprises since it offers a new channel for financing and upgrades their credit rating. In this process, cooperation among banks, SINOSURE and enterprises is enhanced.Based on the data and case from SINOSURE Changzhou Branch, the thesis analyzes the feasibility of export SMEs to take advantage of this financing mode from such aspects as overview of the investigation, financing achievement of the mode, problems and relevant countermeasures. In order to popularize the mode of trade financing, the thesis proposes several operative countermeasures to help export SMEs out of the financial predicament concerning the government, export SMEs, banks and SINOSURE.