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ECA backed advisory is a type of financing is used in project finance transactions where para-sovereign or sovereign bodies provide (financial) support to would-be purchasers of certain goods or equipment constructed in that ECA’s home jurisdiction.
ECA backed advisory is a type of financing that can make Project finance deals both more bankable and more affordable, and has long been a useful feature of asset and project finance. Over the last two decades, Africa has seen significant amount of export credit support in the form of both guarantees and insurance provided to capital-intensive global projects. ECA backed financing is used in project finance transactions where para-sovereign or sovereign bodies provide (financial) support to would-be purchasers of certain goods or equipment constructed in that ECA’s home jurisdiction.
Brickstone can support in the Financings offered by ECAs which includes the following :
1. Direct loans: Loans funded directly by ECAs.
2. Loan insurance or guarantees: Commercial bank loans insured or guaranteed by ECAs.
3. Interest rate equalizations: ECA compensates a bank for the difference between the market and ECA rates.
Brickstone have established excellent work relationships with ECAs and fully understand their processes and requirements. Our approach seeks to serve our clients’ needs in the most efficient manner by focusing on the ECAs’ individual requirements.
Brickstone backed ECA Transaction Advisory Services
In our capacity as Transaction Advisor, we work with the borrowers and the exporters to:
- Prepare financing timelines and action plans
- Develop and refine financial models in accordance with the ECA backed Financing Institutions
- Write information memoranda in accordance with the ECA backed Financing Institutions Guidelines
- Prepare presentations on behalf of borrower to ECA lenders
- Calculate and maximize the size of the loan facilities
- Liaise with ECA and other project participants to ensure drawdown
- Prepare and manage the financing applications on behalf of ECA borrowers