An agreement between OzForex and the Australian Government’s Export Credit Agency will reportedly help SME manufacturers better manage their exposure to volatile currency markets.
Eligible Australian SMEs will have the help to better manage their exposure to volatile currency markets following today’s announcement of an agreement between online foreign exchange company OzForex and the: Export Finance and Insurance Corporation (EFIC).
OzForex will reportedly provide exporters with higher limits of foreign exchange hedging, backed by an Export Finance and Insurance Corporation (EFIC) guarantee.
According to the online foreign exchange company, providing higher limits of foreign exchange hedging is one of the most common ways to protect an SME’s profits against sudden shifts in a currency’s exchange rates.
EFIC says it will offer a guarantee of up to $250,000 per eligible exporting customer, which will allow OzForex to increase the exporting customer’s hedging facility by the same amount.
“We are very pleased to work with EFIC to help our clients to focus on growing their business without having to worry about the risks of international trade and protect their export business due to events beyond their control,” said OzForex CEO, Neil Helm.
EFIC’s Executive Director, SME & Mid Market, Andrea Govaert, said “EFIC works with SMEs that have all the ingredients for export success – innovation, drive and professionalism – but they are often restricted by the amount of collateral they can offer to underpin the growth of their business. Our work with OzForex is another way we can work with the commercial market to support SMEs in their export growth.”
To apply for the service, exporters need to be (or become) an OzForex customer and must also meet criteria associated with this product, says OzForex.
To apply, visit the OxForex website or call 1300 300 524.