Productive Expenditure
The Government is committed to a policy of responsible lending. ECGD’s Statement of Business Principles also makes clear that debt sustainability will be an important factor when it is considering the provision of support for exports to, and investments in, developing countries.
For Heavily Indebted Poor Countries (HIPCs) (see World Bank list of HIPCs) and those countries that can only borrow from the International Development Association on highly concessional terms, (see IDA list of Borrowing Countries) any ECGD supported export or investment must meet productive expenditure criteria. ECGD and the Department for International Development assess applications for these countries to ensure that the related projects provide social and economic benefits without harming the country’s debt position.
For all applications relating to productive expenditure markets (March 2006, Word 26.5 KB), applicants will be asked to complete a questionnaire (Word 35 KB) to provide more information on the likely benefits and debt implications of the export or investment which they wish ECGD to support.
The document "Productive and Expenditure Screening - Guidance for Exporters and Investors" provides more information on how applications are assessed.
Download (Word 61 KB)
Contact
For more information, contact ECGD’s Business Principles Unit: bpu@ecgd.gsi.gov.uk
