The Export-Import Bank of the Republic of China

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​I.                 Background

In recent years, interactions between Taiwan and Central and Eastern Europe (CEE) have been deepening comprehensively. Bilateral exchanges and cooperation among various fields are booming and continuing to grow closer. In order to further strengthen Taiwan economic and trade ties with CEE, National Development Council (NDC) Minister Kung Ming-Hsin headed a delegation on a visit to CEE countries in October 2021. This visit has laid a solid foundation for bilateral cooperation.

CEE countries and Taiwan can work together in a variety of industrial development to have cooperative and complementary prospects. The two sides have proactively expressed bilateral cooperation willingness. It has shown that in addition to sharing value on democracy, CEE countries and Taiwan can expand partnerships into more diversified dimensions to create the future of mutual benefits.

On January 11, 2022, Minister Kung announced to set up a US$1 billion Central and Eastern Europe Credit Fund, with the aim for supporting economic, industrial and trade cooperation between Taiwan and CEE countries. After cross-agencies efforts, the NDC-led CEE Credit Fund has begun operation since March 18, 2022. Taiwan EximBank is appointed to execute the CEE Credit Fund and is committed to promote the goal of the CEE Credit Fund.

II.             Main Purpose & Goal

To promote industrial, economic and trade cooperation between Taiwan and Central and Eastern Europe, the CEE Credit Fund provides a funding source for enterprises so as to foster private sector project cooperation or investment that strengthen economic, industrial and trade links of both sides, as well as create mutually beneficial development.

III.         Introduction

1. Executive Unit: Taiwan EximBank

2. The Credit Fund Size: USD 1 billion

3.  Eligible Applicant: whichever enterprises from Taiwan or CEE countries Applicants

4. Purpose: Projects that fulfill the goal of the credit fund

5.  Facility Cap: The cumulative amount of facility for a single borrower shall not exceed NT$2 billion (roughly equivalent of US$67million) unless otherwise agreed.

6.  Currency: USD, EUR or NTD

7.  Tenor: Up to 7 years

8.  Interest Rate:

• USD：6M Term SOFR plus margin
• EUR：6M EURIBOR plus margin
• NTD：3M or 6M TAIBOR plus margin

9. Repayment:

• A reasonable grace period may be granted.
• To be paid in installments
• In lump sum on final maturity if the tenor is one year.

10. Assessment & Responese

After applicants submit credit documents, Taiwan EximBank is based on general bank commercial loan practices to conduct the credit review. Credit applications will be presented to Board of Directors of Taiwan EximBank.

After the above-mentioned process is finished, the applicant will receive an approval notice, or a refusal notice, or an amendment notice.

IV.          Expected Benefit

CEE Credit Fund aims to finance industrial cooperation projects between Taiwan and CEE countries on competitive terms and become an alternative funding source for enterprises. In addition to creating complementary advantages and partnerships in industries and technologies, benefits of mutual cooperation projects will help further strengthen the substantive relationships between Taiwan and CEE countries.

Through the CEE Credit Fund financing cooperation projects, we expect to have a positive impact on other European countries, and expand our enterprises' economic and trade ties with Europe so as to raise bilateral international competitiveness. Considering that external trade is Taiwan economy's foundation, the CEE Credit Fund will help to expand the partnerships with other countries and build secure supply chain thereto.

V.              Contact Us

Head Office +886-2-2396-2904、+886-2-2396-2910
Hsinchu Branch +886-3-658-8977
Taichung Branch +886-4-2322-5767
Tainan Branch +886-6-593-2520
Kaohsiung Branch +886-7-224-1926
Representative Office in Prague, Czech Republic +420-234-107-222
Representative Office in Bangkok, Thailand +66-2-286-2896
Representative Office in Jakarta, Indonesia +62-21-5268879
Our website https://www.eximbank.com.tw/en-us/Pages/index_en.aspx

VI.          Projects supported by the CEE Credit Fund

*Country refers to CEE countries that bilateral industrial cooperation and complementary advantages in technology, as well as economic and trade ties with Taiwan are expected to be further strengthened through the credit facility.​

VII.      FAQ

1. What is the scope of CEE countries?
   Geographically speaking, countries locate in CEE area, such as Czech Republic, Slovakia, Lithuania, Estonia, Hungary, Poland, Romania, and Slovenia, etc., are welcome to apply for the CEE Credit Fund.
2. What sectors are eligible for the CEE Credit Fund?
   CEE Credit Fund aims to promote industrial, economic and trade cooperation between Taiwan and CEE countries to reach a comprehensively deepening relationships. Projects from all sectors are eligible for the CEE Credit Fund.
3. What can the CEE Credit Fund offer?
   Taiwan EximBank is dedicated to offer various kinds of financing facilities under the CEE Credit Fund, including the overseas investment credit, trade finance credit, and joint venture project financing.
4. Can CEE countries enterprises which procure commodities from Taiwan apply for the CEE Credit Fund?
   Yes, they can apply for the CEE Credit Fund. Either one-way procurement or two-way procurement is eligible for the CEE Credit Fund.
5. How do enterprises find the contact?
   CEE Credit Fund is implemented by Taiwan EximBank. In addition to setting up a Representative Office in the Czech Republic, Taiwan EximBank is teaming up with Taiwan Representative Offices in CEE countries to explore potential projects and response related enquiries thereto. Enterprises from Taiwan and CEE countries which are in line with the purpose of the CEE Credit Fund are welcome to contact Taiwan EximBank or Taiwan Representative Offices in CEE countries for consultation.
6. When credit documents are not in English, are these credit documents required to be translated into English?
   Yes, all the documents shall be either written in English or be translated into English, including CPA Financial Statements, Audit Reports, Annual Reports in the last three years, etc.
7. What credit documents need to be provided?
   

   Including but not limited to:

   • Loan Application Checklist
   • Personal Data Protection Notification
   • Credit Application
   • Company Information Sheet
   • Information Profile of the Person in Charge
   • Know Your Customer (KYC) Checklist
   • Consent about Credit Information Collection (for Company)
   • Consent about Credit Information Collection (for the Person in Charge
8. What should the borrower prepare after loan approval?
   
   • Foreign Debt Registration: in some European countries, the borrower may need to notify the Central Bank where the borrower is located within a requested period after signing of the loan agreement pursuant to the local laws and regulations. Otherwise, certain penalties may be imposed.
   • To understand how to prepare for Notarization: some related documents may need to be notarized if necessary.
   • To contact law firms: EximBank should obtain a legal opinion for the loan agreement.
9. How much are benchmark interest rates right now?
   

   Credit Fund Interest Rate

   USD: 6M Term SOFR plus margin  or  EUR: 6M EURIBOR plus margin

   You may visit the following websites to know how much the benchmark interest rates are.

   EURIBOR website：https://www.euribor-rates.eu/en/   

   Term SOFR website：(You may also contact us for information.)https://www.cmegroup.com/market-data/cme-group-benchmark-administration/term-sofr.html

10. Can start-up companies established less than three years apply for CEE Credit Fund?
    
    • In terms of funding sources, CEE Investment Fund and CEE Credit Fund are two different tools to grow your business.
    • CEE Investment Fund is designed for equity investment and may be more suitable for CEE companies in start-up stage that conduct technology research and need less working capital for their early business stage.
    • CEE Credit Fund provides loan to Taiwanese and CEE companies in mature stage that possess expertise and commercialized products, and intend to expand their business.
    • Start-up companies that apply for small amount of loan through CEE Credit Fund still need to afford legal opinion, notarization, financial statement translation and relevant sunk costs. Thus, it is worth considering cost-benefit evaluation.
11. Could you provide successful cases of CEE Credit Fund?
    As of April 2, 2024, the concrete results of the CEE Credit Fund inculuded 13 successful loan approval cases. The total approved amount is equivalent to approximately US$93.25 million. Successful loan approval cases involved in many countries, including Lithuania, Hungary, the Czech Republic, Slovenia, Poland, Austria and Slovak Republic. Now, there are a lot of potential applications for CEE Credit Fund in the pipeline, including diversified sector applications in Taiwan, Lithuania and other CEE countries.​
12. Why should CEE companies choose CEE Credit Fund?
    When CEE companies would like to set up joint ventures, technological collaboration, trade interactions, or supply chain partnerships with Taiwanese companies, Taiwan EximBank provides customized financing arrangements with competitive interest rate, flexible repayment term and tenor to meet their specific need. As CEE companies are planning to arrange their business models and analyze their niche strategies, they may apply for CEE Credit Fund to finance their projects and further strengthen mutual beneficial partnerships with companies in Taiwan and Asia and trade links of both sides.