§ Mr. LathamTo ask the Secretary of State for Trade and Industry if the Export Credits Guarantee Department will reduce the premium it is currently charging on credit362W for British firms wishing to place contracts in Israel for housing of Soviet immigrants; and what information he has on the equivalent premium charged by Britain's main trading competitors.
§ Mr. Sainsbury[holding answer 11 March 1991]: As part of its new portfolio management system, the Export Credits Guarantee Department is currently reviewing its premium rates for project business exports to a number of countries including Israel. The review should be completed shortly.
The ECGD assesses premium rates after taking into account the risks involved. The rates generally charged by other export credit agencies are taken into account, but it is necessary to draw a balance which recognises the costs to the taxpayer which can be involved in supporting project business.