Local Currency Financing: eligible currencies
UKEF can guarantee a buyer credit loan to an overseas borrower in local currency, finance the purchase of capital goods, services and/or intangibles from a UK exporter, subject to a suitable local partner bank being found.
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Loans can be made in up to 55 currencies subject to a suitable local partner bank being found that is willing to lend in the local currency. For the overseas borrower (and buyer) it reduces foreign currency risk and avoids a variable debt service cost.
A buyer credit in local currency follows the same format as a conventional buyer credit in a standard currency such as sterling, euros or US dollars except that it is funded from a bank in the buyer’s country.
Local Currency Financing is particularly suited to projects that do not usually generate foreign currency revenue, such as water/gas/electricity utilities, local transport and local municipalities.
Updates to this page
Published 9 March 2020Last updated 5 November 2024 + show all updates
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Colombian Peso, Georgian Lari, Paraguayan Guarani and Trinidad and Tobago dollar were added to the list of eligible currencies.
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Gabon was removed from the list of eligible currencies.
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The following currencies have been added as available for local currency financing: Benin, CFA Franc Cameroon, CFA Franc Gabon, CFA Franc Senegal, CFA Franc Togo, CFA Franc
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We no longer have a case-by-case position for local currency financing so the list of these eligible currencies has been removed and the list of current currencies considered has been updated.
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Kazakhstan, Kazakhstani tenge now considered on a case-by-case basis.
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Croatian Kuna removed.
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Nigeria removed from 'case by case' list.
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Pakistani rupee removed from list of eligible currencies.
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Egyptian pound is now listed under 'Eligible Currencies’ rather than ‘Currencies considered case-by-case’.
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Removed Russian ruble and Ukrainian Hryvnia from list of eligible currencies.
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First published.