Photo by: Bloomberg
PERTH (miningweekly.com) – Federal Trade, Tourism and Investment Minister Steven Ciobo has mandated the Export Finance and Insurance Corporation (Efic) to support onshore resource and related infrastructure projects, in instances where there is a “demonstrated market gap” in the availability of private sector finance.
Ciobo said on Monday that the changes to the mandate were in response to an increasing number of resource projects in some market segments facing difficulties obtaining private market finance for otherwise viable projects.
“The amendments help Efic keep pace with Australia’s changing exports by enabling Efic to lend directly to a broader range of small and medium-sized enterprises,” the Minister said.
He added that the amendments enshrined in legislation a requirement that there was a net increase in Australian jobs within a business applying for Efic financing for overseas direct investment.
“The updated mandate and amendments make it easier for Efic to support our exporters, helping create Australian jobs and drive economic growth.”
The changes would not duplicate government support to resource projects, Ciobo said, adding that Efic would not be able to provide financing for the construction of projects that were partially funded by the Northern Australia Infrastructure Facility.