Tuesday, September 18, 2012

18/9/2012: Irish exports credit guarantee


Leaves you speechless:

I am hearing that Irish Gov Exports Credit Guarantee Scheme requires +2% fee for participation to be paid by SMEs.

Risk-weighting of such schemes=0%, as this is a de facto re-insurance scheme with Government assuming liability only in third teer in the worst case scenario.

UK equivalent Scheme=-1%.

Thus Irish-UK differential for companies successfully exporting = +3% surcharge to the disadvantage for Irish SMEs.

Really, it appears we do tax our SMEs successes and then call this 'support' policy!
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