Sfil, a performing set-up to enhance French exports competitiveness
Since May 2015, Sfil has refinanced major export credit agreements. This activity authorized by the European Commission, was given to Sfil by French State to improve French exports competitiveness.
French export credit refinancing scheme 2021
15 October, 2021
Key figures27banks partners22concluded deals11,2 B€closed refinancing
Sfil's export credit set-up:
the combination of 3 expertizes for the benefit of the borrower
– Structuration: top arranging banks selected by the borrower via a competitive process
– Credit risk: Bpifrance Assurance Export insurance policy with the guarantee of the French Sovereign
– Liquidity: additional capacity brought by Sfil at very competitive terms
Sfil : a booster to improve competitiveness
Benefits of Sfil set-upThe set-up contributes to improve the quality of French export offer in terms of:
We provide liquidity in addition to banking capacities without any limit on amount per project
3 billion EUR expected average annual contribution
We intervene on maturities up to 30 years, including:
1) construction period
2) amortization period
(on the basis of OECD Arrangement limits)
The impact on the prices is due to:
1) Sfil’s exceptional access to international capital markets
2) the increase in number and volume of competitive offers from the banks
Without Sfil, the biggest French shipyard could not simultaneously implement 4 billion euros commercial contracts
Sfil’s intervention is aimed at projects under negotiation:
- From all sectors and all countries
- Amounting to 70 million euros and above
- Financing France based exporting companies and therefore eligible to Bpifrance Assurance Export’s credit insurance
- Meeting the European Commission’s requirements
For each project, Sfil has to comply with the European Union’s requirements, including:
- Transferring a portion of the credit to Sfil must be carried out within 3 months following the export credit signature.
- The borrower or exporter must state how many banks were consulted for the transaction.
1st case: the borrower or exporter consults banks in order to select the pool of initial lenders
The number of banks consulted to be initial lenders must reach (number of banks refinanced by Sfil + 1) for nuclear, defense or projects above 500 million euros or (number of banks refinanced by Sfil + 2) for all other projects.
2nd case: the borrower or exporter consults banks in order to select the arranging bank(s) to syndicate the loan
The number of banks consulted to arrange and syndicate the loan must reach (number of arranging banks + 1) for nuclear, defense or projects above 500 million euros or (number of arranging banks + 2) for all other projects.
Specific case with a unique lender: the number of banks consulted by the exporter or the borrower for that project must reach 2 for nuclear, defense or projects above 500 million euros or 3 for all other projects.
More details on: http://ec.europa.eu/competition/state_aid/cases/257147/257147_1665498_189_2.pdf (page 21 – article 1.4)
Steps to get refinancing from Sfil
Participation of Philippe Mills at TXF Global Virtual on June 10, 2021
A close cooperation with banks for the benefit of the French industry and their customers
Last update 06/03/2023