On May 20, the Board of Directors of the Export-Import Bank of the United States (EXIM) approved a $54.9 million guarantee of a loan from BNP Paribas to support the export of a GEnx spare engine and two GEnx spare propulsors from GE Aviation to Turkish Airlines (Turk Hava Yollari).
EXIM states that this loan would not have been available in the private sector without its guarantee, which will enable the deliveries of the GE engines to be completed in 2021.
“Today’s board action demonstrates EXIM’s ability to fill a financing gap on behalf of a US manufacturer in an industry that has been hit especially hard by the pandemic. EXIM is committed to supporting America’s exporters as the global economy begins to recover, while remaining committed to strong fiscal responsibility in our portfolio,” said EXIM Acting First Vice President and Vice Chairman James C. Cruse.
“The action the Board of Directors took today achieves three important functions of EXIM: providing financing when private-sector options are not available, levelling the playing field for U.S.-based exporters, and sustaining U.S.-based jobs,” said EXIM Board Member and former Chairman of the House Financial Services Committee Spencer Bachus. “As the world begins to open up and companies recover from the effects of the pandemic, EXIM continues to fulfil our mission by supporting US businesses and the people they employ.”
“EXIM is needed to enable GE’s Ohio-manufactured exports to go forward during this critical time in the aviation industry. This is what we do. We provide help in a financial crisis to assist America’s exporters and their workers when the private sector cannot or will not offer financing without our support,” said EXIM Board Member Judith D. Pryor.