Onboarding and monitoring financial counterparties

The UK Export Finance (UKEF), a government owned credit institution sponsoring and facilitating access to loans for firms seeking export financing or insurance, has published an updated guidance as regards the onboarding and monitoring of financial counterparties that seek to get engaged in export financing via the UKEF’s corresponding financing program.
Generally speaking, the guidance sets out
– the timeframe for approval of a financial institution’s application to join the program (depending upon credit rating, export financing experience, etc.);
– the onboarding process itself which involves the evaluation of an institution’s compliance history, risk management, (financial) capability, and sustainability;
– the products and services that may be offered by the institution;
– in which cases reapproval is needed (e.g. material changes in credit rating); and
– the requirements of financial institutions that seek to offer additional products and services not yet covered by the approval.
This latest revised version contains modifications in the „onboarding process“, according to the update statement.