Export financing, bank-exporter-ECA relations, synergies with the private sector and government agencies and the risk that the export ecosystem needs to manage were the focus of the Berne Union’s Prague Club Biennial Meeting held in Athens May 21-23, organized by Export Credit Greece.
24.05.2024 – Leaders of export credit agencies from 26 countries met at the conference Prague Club Biennial Meeting of the Berne Union, held for the first time in Athens, organized by Export Credit Greece. The conference, which is a top meeting, worldwide, discussed the next day of export trade and export finance, banking relations with exporters, international economic relations, and good practices from all sectors. The conference was attended by executives from the financial sector, export companies and government bodies.
The contribution of exports to development and the national economy, as well as the role of export credit organizations in finding solutions to the uncertainty caused by geopolitical unrest and ongoing crises, was highlighted in his intervention by the Deputy Minister of Foreign Affairs, Costas Fragogiannis. He noted that export credit agencies have extensive experience in international cooperation, both among themselves and with other government agencies, governments, and financial institutions. As a result, they boost each country’s exports and economic growth, even under difficult conditions, while facilitating trade by mitigating risks in difficult markets. Regarding Export Credit Greece, he emphasized that it has undertaken the critical mission of supporting Greek businesses participating in international transactions and investments, offering credit insurance, guarantees and financing. “It has successfully acted as a catalyst for the release of the full potential of the Greek economy and I am sure that in the coming years we will see the importance of this support for the Greek economy” he said.
The General Secretary of International Economic Relations of the Ministry of Foreign Affairs, Maira Myrogianni, spoke about the contribution of export credit organizations to securing exports, while the head of the Prime Minister’s Economic Office, Alexis Patelis, presented in detail the macroeconomic perspective of the country.
A discussion was held on building strong banking relations, moderated by the CEO of Export Credit Greece, Gregory Stamatopoulos, among representatives of Eurobank, the European Investment Bank and Attica Bank. Eurobank’s Head of Transaction Banking and Assistant General Manager of Corporate & Investment Banking, Eleftherios Vlahogiannis, spoke about what makes a banking product good as well as the challenges facing the banking sector. Mr. Vlachogiannis mentioned the characteristics that make a product successful: simplicity, transparency, and understanding and evaluating customer needs. Among the challenges they face, he highlighted the environment and competition, while noting that it is important to have a very clear and competitive pricing model. “Also, if it is a guaranteed product, it is important to have a good rating“, he said.
Attica Bank’s Chief Corporate Banking Officer, Konstantinos Christodoulou, underlined that one of Attica Bank’s goals regarding SMEs is to support exports and their specialized needs, responding to market expectations. He underlined that this can be achieved from the side of the bank, but also together with ECG, to make available to businesses flexible financing tools, liquidity when the exporter really needs it, ie at the beginning of the cycle when he receives an order, expansion of the commercial cycle to ensure that at the end of the cycle the exporter will definitely be paid. “Within this context, I would also say that in order to have more and more effective synergies between us, we need to better understand the roles we have” he said, among other things.
Antonis Papageorgiou, Senior Loan Officer, of the European Investment Bank, discussing the cooperation with the ECAs noted that the EIB is not a commercial bank, “we are the banking arm of the European Union and therefore promote the priorities of the European Union” adding that it has a more medium-term and long-term perspective on investments. “However, we have worked very closely with many export credit agencies in Europe and outside Europe” he underlined noting that the EIB had an important role in Greece in dealing with the crisis. He added that he worked closely with the banks creating a trade finance program filling a gap and added that it is an important example for ECG as it could play an important role in boosting exports and supporting the banks in it.
Regarding the management of the financial crisis and the success story of Hellenic Halyvourgia, spoke Ioannis Manesis, head of Hellenic Halyvourgia, with the CEO of Export Credit Greece, Gregory Stamatopoulos. Mr. Manesis spoke about the difficult decisions the company had to make during the crisis, but also the crises the steel industry is facing today. He emphasized that the company’s model had to change and focus on exports, exporting at a rate of 80%. He noted that Export Credit Greece was an important ally in mitigating the risk and in getting to know the characteristics of the company’s customers in new, foreign markets, while he added that through Export Credit Greece’s programs, the cooperation of Hellenic Halyvourgia with the banking sector was strengthened.
The chairman of the Prague Club Committee and head of Oman’s export credit agency CREDITOMAN, Khalil Al Harthy, expressed his enthusiasm for the organization of the meeting in Athens adding among other things that “holding the meeting in Greece demonstrates the strong interest and support of all members to our colleagues at Export Credit Greece (ECG) SA.” The world is undergoing many continuous changing events that require not only quick understanding but also quick response from member countries. To this end, the PCC’s agenda emphasizes key areas of cooperation, key changes in political risks, innovation and cooperation with other important sectors such as financial institutions“, while Berne Union President and Chief International Officer Export Insurance, BPIFRANCE, Maelia Dufour noted among other things that synergy, the theme of the meeting combines cooperation and the will to achieve the goals together. The exchange of best practices on organization, processes, and products, building stronger relationships with banks, proposing strategic issues for the future of the Berne Union, emphasizing synergies in credit insurance and factoring, better cooperation with private market, the success stories, and the transition from “if” to “will” that were discussed made all participants increase their knowledge about credit insurance.