The Exim bank of Korea has lowered from 20% to 15% the minimum foreign exchange earning ratio for Korean construction companies seeking guarantees from the bank for their overseas projects. This follows a downturn in overseas demand for the services of Korean construction companies.
These guarantees are provided to Korean commercial banks, local branches of foreign banks, and foreign banks involved in transactions financed by the Bank. The guarantees will be made in three forms The Bank will guarantee to refund to overseas importers 100% of advance payments made to Korean exporters the Bank will provide a 100% guarantee on the performance of a domestic exporter, and lastly,...
