Spanish FIEM Fund - · PDF file2 FIEM: 3 Official financial instruments to support the 1 internationalization of Spanish companies 4 Index Examplesof FIEM projects basic characteristics

Spanish FIEM Fund

FIEM:23

Official financial instruments to support the

internationalization of Spanish companies1

4

Index

Examples of FIEM projects

basic characteristics

financial conditions

Contacts

1.- Official financial instruments to support the internationalization

of Spanish companies

1

3

2

Equity and quasi-equityFIEX/FONPYME

Credit CARI/FIEM

Assurance

FIEM:2 BASIC CHARACTERISTICS

FINANCIAL CONDITIONS

Index

2.-FIEM | BASIC CHARACTERISTICS

� Supports:

� exports of goods and services

� direct investment

� Origin in FAD (FIEM since January 2011), improved and extended

� Subject to the Arrangement on Officially Supported Export Credits (OECD

Consensus)

� Approval: FIEM Committee. Council of Ministers

� Financial Agent: ICO

2.-FIEM | BASIC CHARACTERISTICS

� Contractors: Spanish companies (wide

interpretation)

� Beneficiaries: Non-resident public or private

entities

� Guarantees: Sovereign, sub-sovereign, private,

project finance...

� Excluded sectors: Health, basic education and

defense, paramilitary and police equipment

� Eligible countries: case-by-case basis

2.-FIEM | Financial Conditions

Financing in commercial terms

• Interest rate: CIRR + CESCE equivalent premium

• Funding limits established by OECD consensus

• Repayment terms: up to 8.5 years for developed countries.

Upper limits for certain sectors

• OECD Commercial interest rate CIRR (monthly validity)

• CIRR rates currently valid (15 Feb. - 14 Mar. 2017):

2.-FIEM | Financial Conditions

Tied concessional (soft) financial support

• Restricted to lower-middle income

countries according to World Bank's

classification

• Minimum Concessionality level

(grant element): 35%

• Least developed countries (LDCs):

50% minimum

• HIPC countries: Financing is

possible, but exceptional

• Special Financing lines for studies:

EVATIC

2.-FIEM | Financial Conditions

• Senior debt, FIEM does not participate in equity

• Independent analysis (due diligence)

• Guarantees for the operation:

– Country

– Public or Private debtor

– Project (project finance)

• Currency: Mainly Euro or USD (the law allows exceptionally

other currencies)

Balance 2011 – 2016

The total amount of FIEM credits approved in the period amounts to

1.453 million € (in green)

The value of the contracts linked to these funding amounts to 2.594

million € (in blue)

0

500.000.000

1.000.000.000

1.500.000.000

2.000.000.000

2.500.000.000

3.000.000.000

FIEM leverage effect from 2011 to 2016

3 Examples of FIEM projects

Index

3.-PROJECTS Sadara Petrochemical plant in Saudi Arabia

- Exporter: Técnicas Reunidas

- Participation in the construction of 3 petrochemical plants in JIC (Jubail

Industrial City), the largest industrial center in Middle East

- FIEM Credit: 300 million USD with Project Finance guarantee

3.- PROJECTS CERCIKAYA IN TURKEY

- Exporter: Acciona Windpower

- Full supply of turbines for a wind farm of 57 MW in the region of

Cercikaya in Turkey

- FIEM credit: 19 million EUR

3.-PROJECTS CONSTRUCTION AND EQUIPMENT OF THREE

LABORATORIES QUALITY CONTROL OF FISHERY PRODUCTS IN

KENYA– Engineering and building equipment and training of personnel involved in

the production and handling of fish and laboratory

– Contract between MAKIBER and Kenyan Ministry of Fisheries. Sovereign

guarantee

– Concessional financing: € 5.7 million

3.-PROJECTS DRIVING SIMULATOR FOR DRIVING SCHOOLS IN BRAZIL

- FIEM Credit of 32 M€. Bank financing of 14,4M€

- Project Finance Guarantee and additional ones such as:

- Corporate Guarantee from Everis Spain S.L.U.

- Pledge on the income of Pro simulador

- Driving simulators as guarantee to mitigate the risk of Exchange rate.

- Key element of the Demand Analysis: the use of the driving simulators is compulsory

according to Brasilian law

3.-PROJECTS CONSTRUCTION AND OPERATION OF A GAS

PIPELINE IN MEXICO

- Debtor: Pipeline of Morelos (SPV composed by

Elecnor, Elecnor México and Enagás)

- FIEM Credit of 50 M de $

- Contract awarded by International Tender

- Contracts: Gas transport with the Federal

Electricity Commission, Interconnection with

PEMEX, Construction with Elecnor México, O&M

with Elecnor y Enagás

3.-Projects PLASTIC INJECTION FACTORY FOR PRODUCING

HANGERS AND AUTOMOBILE COMPONENTS IN INDIA

- Developer: Plásticos Erum, SME leader in the manufacture of hangers

- Clients: INDITEX, H&M, El Corte Inglés, Decathlon, Carrefour, Hugo Boss etc.

- Investment of 1.282.125 €

4 Contacts

Index

Contacts Ministry of Economy, Industry and Competitiveness

Paseo de la Castellana, 162

28046, Madrid, España

www.comercio.gob.es

Deputy Directorate for Financial Development for

Internationalization.

[email protected]

Deputy Directorate for Trade Policy for Mediterranean

Countries, Africa and the Middle East.

[email protected]

Deputy Directorate for Trade Policy for South America

and North America countries.

[email protected]

Deputy Directorate for Trade Policy for Europe and Asia

Pacific.

[email protected]

THANKS FOR YOUR ATTENTION