EXPORT CREDIT REINSURANCE SCHEME (Particulars)
Parliament of Singapore · 24 March 1986 · 6th Parliament
Official Report, 24 March 1986, Vol 47, Issue 13 · Open in the reader (summaries, search, filters)
Mr Yeo Toon Chia: To ask the Minister for Finance (a) what are the objectives of the Export Credit Reinsurance Scheme; (b) what are the benefits provided under the scheme; (c) how many companies have benefitted from this scheme; and (d) what was the total amount committed to this scheme as at the latest convenient date.
Mr Vasoo: Question No 9, Sir.
Dr Hu Tsu Tau: Mr Speaker, Sir, the Export Credit Reinsurance Scheme was withdrawn in May 1982. Under the defunct scheme, Government would provide reinsurance support to Export Credit Insurance Corporation of Singapore for its underwriting of selected capital goods exported, in order to help exporters compete in the world export market.
The benefits of the scheme to an exporter were:
(1) Good security against various commercial and political risks of not receiving payments from overseas buyers;
(2) The exporter can give more competitive terms to his overseas buyers and venture into new markets with greater confidence, even though such markets may be regarded as more risky than traditional ones.
Six companies have benefitted from the scheme.
As at 31st December 1985, Government's contingent liability under the scheme amounted to $122.4 million.
Source: Singapore Parliament Official Report (Hansard) for 24 March 1986. Republished on SGParliament.