Project financing services are available to our customers to purchase industrial processing plants. GEA Process Engineering has proven, over many years, to be able to gain access to funds and/or guarantees, making it possible for the customer to implement even very large projects.
Financing experts within GEA Process Engineering have a widespread network of contacts and associations with banks as well as bilateral and multilateral financial institutions across the world.
World Bank and Regional Development Banks
In the developing countries, where the World Bank and its regional development banks are operating, the Danish Government can offer special loan programs to commercial projects.
Through its ‘Fellowship Program’, DANIDA offers grants for scholarships to GEA Process Engineering customers and partners in connection with the implementation of new technologies in developing countries.
Export and Project Finance
Export financing has long been accepted as a great door opener, allowing projects to be explored and fulfilled which otherwise would not be undertaken. This is especially true in areas where access to large amounts of capital is not as easy as other parts of the world.
Our ability to offer Export Financing is a parameter with increasing importance, especially for large and ‘turnkey’ projects, but also for customers who wish to purchase individual pieces of equipment.
Today, there are still substantial differences between the official export credit systems within the OECD. For example, prices can vary for export credit guarantees and wiliness to take on credit risk on various countries, banks and corporations. Our global positioning means that finance may be obtained outside the customer’s own country, resulting on the best possible terms for the customer through GEA’s banks and export credit agencies.
Export Finance makes it possible for GEA Process Engineering to offer long-running export credits to customers of capital goods in markets where the local situations do not permit the same conditions. These conditions might include, for example, lack of liquidity in the banking system, central bank regulations or local legislation requires investments above a certain level should be financed through the supplier.
Even though it might appear more risky for banks in the developed countries to lend to undercapitalized banks and companies in the developing countries, most operate in local markets where there is a lot of very hard competition, meaning that they also look outside of their own countries to expand their lending activity.
GEA and Export Finance
GEA Process Engineering employs specialist whose job it is to structure and establish the best possible financial solutions for the customer and, at the same time, minimize the risks involved in export sales.
Highly experienced and qualified staff can offer many opportunities to customer:
- conduct negotiations with one or more banks with a specialized knowledge of the customer’s country
- liaise with export credit agencies to obtain the best guarantee terms
- negotiate with investment funds and insurance companies
- arrange financing terms with the customer and their bank
- assist with writing letter of credit and guarantees and of the financial articles of the contract.