Buyer Credit

Under a buyer credit facility, UK Export Finance provide a guarantee to a bank that makes a loan to an overseas buyer to finance the purchase of capital goods and/or services, worth at least £5 million from an exporter carrying on business in the UK.

The export contract must have a value of at least £5 million, or the equivalent in foreign currency.

The maximum amount that can be made available under the loan is 85% of the contract value. A minimum of 15% of the contract value must be paid directly to the exporter by the buyer before the loan starts to be repaid.

Support will be considered for foreign content (that is, the cost to the exporter of purchasing goods or services from sub-contractors outside the UK) of up to 80% of the export contract’s value.

The period for repayment of the loan must be at least two years.

There is no fee for the application and the premium payable for UK Export Finance's guarantee is determined on a case by case basis.