§ 44. Mr. Ridleyasked the President of the Board of Trade what would be the estimated cost of increasing the maxi mum credit terms offered by the Export Credits Guarantee Department to 90 per cent, of the value.
§ Mr. N. MacphersonMy right hon. Friend is not entirely clear what the hon. Member has in mind. E.C.G.D.'s normal percentages of cover are 85 for the main buyer risks and 90 or 95 for the political risks. A reliable estimate of the cost of increasing the percentage for buyer risks cannot be made because the past is not a guide for the future. The primary purpose of the lower percentage paid on these risks is to ensure that the exporter retains a real interest in the transaction and it would not be in the interests of prudent underwriting to increase this percentage.