Non-Substantive Change Explanation OMB 3048-0032

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EXIM Application for Approved Finance Provider Form
Non-Substantive Change

EXIM is requesting a non-substantive change on page 2 of the Approved Finance Provider form to the choices listed under Please check all programs being requested.  One option will be reworded to correctly state the option, Master Guarantee Agreement – Medium Term Credits – Electronic Compliance Program.  Two options are no longer offered by EXIM, Master Guarantee Agreement – Medium-Term Finance Lease Foreign Currency Supplement and Master Guarantee Agreement – Long-Term Political Risk Guarantees. One new choice is being added, Insured Lender (Medium-Term, Letter of Credit, Financial Institution Buyer Credit). See below:
FROM:
Please check all programs being requested.
    • Master Guarantee Agreement – Medium-Term Credits – Electronic Compliance Program  
    • Master Guarantee Agreement – Medium-Term Delegated Authority
    • Master Guarantee Agreement – Medium-Term Finance Lease Credits 
    • Master Guarantee Agreement – Medium-Term Finance Lease Foreign Currency Supplement 
    • Master Guarantee Agreement – Medium-Term Foreign Currency Supplement  
    • Master Guarantee Agreement – Long-Term Credits
    • Master Guarantee Agreement – Long-Term Political Risk Guarantees 
    • Master Guarantee Agreement – Agency – Medium-Term Loan Credits 
    • Master Guarantee Agreement – Agency – Long-Term Loan Credits 
TO:
Please check all programs being requested.
    • Insured Lender (Medium-Term, Letter of Credit, Financial Institution Buyer Credit)
    • Master Guarantee Agreement – Medium -Term Loan Credits
    • Master Guarantee Agreement – Long-Term Credits
    • Master Guarantee Agreement – Agency – Medium-Term Loan Credits 
    • Master Guarantee Agreement – Agency – Long-Term Loan Credits 
    • Master Guarantee Agreement – Medium Term Finance Lease Credits 
    • Master Guarantee Agreement – Medium-Term Foreign Currency Supplement  
    • Master Guarantee Agreement – Medium Term Delegated Authority

EXIM is requesting a non-substantive change on page 3 of the Approved Finance Provider form to the requirements listed under 3. ADDITIONAL INFORAMTION REQUIRED FOR DELEGATED AUTHOIRTY APPLICATION (MTDA).  There will be two deletions, (MTDA), from the section header and all text under, a. Lender Eligibility Criteria, as items under this section are no longer offered by EXIM. 
FROM:
3. ADDITIONAL INFORMATION REQUIRED FOR DELEGATED AUTHORITY APPLICATION (MTDA)
        a. Lender Eligibility Criteria: As the MTDA Program delegates to the lender the significant functions of credit underwriting, conducting participant due diligence and ensuring EXIM Bank policy compliance, eligibility is limited to lenders who can demonstrate sufficient capacity and capability to perform these important functions. In evaluating applicants for eligibility and appropriate levels of delegated authority, EXIM Bank will consider an applicant's response to the following performance criteria:
            1) Medium-Term Lending Experience - A material track record in the requested delegated authority market(s), consisting of either (a) satisfactory experience in extending credit under EXIM Bank's medium-term programs for a period of at least five years, or (b) a satisfactory history of performance n extending medium-term credits without EXIM Bank support.
            2) Transaction Due-Diligence Capabilities - Adequacy of resources, processes, and expertise to analyze, in accordance with EXIM Bank's guidelines, the character, reputation, and business practices of the transaction parties.
            3) Underwriting Capability - Adequacy of resources, processes, and expertise to assess the creditworthiness of emerging market borrowers in accordance with EXIM Bank's credit standards or the lender's internal credit standards approved by EXIM Bank.
            4) Loan Monitoring and Administration - Capability to monitor and manager EXIM Bank supported loans effectively and to adhere to the administrative requirements of EXIM Bank's medium-term programs.
        b. Geographical distribution of lender's medium-term portfolio (authorizations, outstanding amounts, claims, losses over the last five years).
        c. Details regarding significant economic sector-based exposures in terms of (i) what they are and (ii) special underwriting that the lender does in connection with these sectors.
        d. Statement as to whether the lender will use its credit standards or EXIM's.
        e. The desired aggregate credit limit being requested and the basis for the specified amount.
        f. List of expected markets with corresponding levels of expected activity in each of those markets.

TO:
3. ADDITIONAL INFORMATION REQUIRED FOR DELEGATED AUTHORITY APPLICATION 
    a. Geographical distribution of lender's medium-term portfolio (authorizations, outstanding amounts, claims, losses over the last five years).
    b. Details regarding significant economic sector-based exposures in terms of (i) what they are and (ii) special underwriting that the lender does in connection with these sectors.
    c. Statement as to whether the lender will use its credit standards or EXIM's.
    d. The desired aggregate credit limit being requested and the basis for the specified amount.
    e. List of expected markets with corresponding levels of expected activity in each of those markets