Export Finance Australia

Last updated

Export Finance Australia
Agency overview
Formed1 November 1991
Jurisdiction Commonwealth of Australia
Employees105–115
Annual budget A$38.6 million (2006)
Agency executive
  • John Hopkins, Managing director & CEO
Parent agency Department of Foreign Affairs and Trade
Website www.exportfinance.gov.au

Export Finance Australia, formerly known as the Export Finance and Insurance Corporation (EFIC), is an Australian government agency responsible for supporting the country's export activities. It operates under the Export Finance and Insurance Corporation Act 1991 (Cth) as a statutory corporation fully owned by the Commonwealth of Australia.

Contents

Established in its current form on 1 November 1991, Export Finance Australia offers flexible financial solutions to promote Australian exports and contribute to overseas infrastructure development. The agency collaborates with banks, financial institutions, government bodies such as the Department of Foreign Affairs and Trade, Austrade, and international financiers.[ citation needed ]

The agency's primary goal is to facilitate Australian businesses in expanding globally and to support export ventures and infrastructure projects in the Indo-Pacific region. Export Finance Australia aims to promote Australia's economic interests in the international market through financial support and partnerships with international organisations.[ citation needed ]

Role and function

Export Finance Australia’s mandate enables it to support a wide range of export-related transactions and projects, including:

Commonwealth entities

Export Finance Australia contributes to broader government objectives by providing expertise and support to the following Commonwealth entities, as directed by the Minister of Trade and Tourism:

Criticism of Export Finance Corporation

The 2020–21 Budget set a record for secrecy, with 384 ‘not for publication’ items—up from 193 the previous year. Spending measures hidden from public view included all expenditure related to Australia’s Export Finance and Insurance Corporation, which has a record of supporting controversial mining and fossil fuel projects. The Australia Institute warns that this growing lack of transparency erodes democratic accountability. [1]

Prior this, The Australia Institute had cautioned in a submission that draft legislation put forth by the Coalition that would do away with the requirement to only fund exporters that manufacture "substantially or wholly in Australia" could allow the Export Finance and Insurance Corporation to play a key role in the "further offshoring of Australian manufacturing." [2] [3] There are significant financial, environmental, and diplomatic risks associated with the proposed reforms to Australia's export credit agency, Australia’s Export Finance and Insurance Corporation (Efic). They need to be carefully examined and shouldn't be hurried through. [4]

References

  1. "New Analysis: Least Transparent Budget on Record". The Australia Institute. October 9, 2020. Retrieved 16 April 2025.
  2. Robertson, Joshua (2017-01-16). "Australia's export credit agency could fund offshoring of jobs, Senate inquiry told". The Guardian. ISSN   0261-3077 . Retrieved 2025-04-17.
  3. Campbell, Rod; Fletcher, Luke (January 2017). "Export Finance and Insurance Corporation Amendment (Support for Commonwealth Entities) Bill 2016 [provisions]" (PDF). The Australia Institute. Retrieved 17 April 2025.
  4. Swann, Tom (February 2019). "Efic changes" (PDF). The Australia Institute. Retrieved 17 April 2025.