Export Credit Guarantees

The object of guarantee is payment of a part of deferred payment under a concluded contract for sale of goods of Lithuanian origin or a relevant services contract.

Goods of Lithuanian origin are goods manufactured in the Republic of Lithuania, the Lithuanian origin of which is confirmed by a certificate issued by any of the Lithuanian Chambers of Commerce, Industry and Crafts or when, based on the total sales of the crediting exporter, at least 50 percent of its revenues are sales of goods of Lithuanian origin manufactured by the crediting exporter itself.

Micro, small and medium-sized enterprises (“MSMEs”) registered in Lithuania that have been operating for more than one year (from the day of registration) with an annual income of over €100,000 according to the approved annual financial statements for the last financial year.

The lifespan of an MSME shall be established as of the day of application registration at ILTE.

The applicant cannot be an undertaking in difficulty as it is defined in the Communication from the Commission – Guidelines on State aid for rescuing and restructuring non-financial undertakings in difficulty (2014/C 249/01).

The applicant and the buyer cannot be affiliated companies and/or partner companies as they are defined in the Law on Small and Medium-Size Business Development of the Republic of Lithuania.

The applicant cannot have any outstanding liabilities to the state, i.e. the amount of outstanding tax, including national insurance contributions, is less than €50, or a schedule for the payment of tax in instalments is in place, or the payment of tax has been deferred by decision of the tax authority.

The applicant’s activities cannot be in violation of the OECD Council Recommendation on Bribery and Officially Supported Export Credits.

There cannot be any judicial or arbitration proceedings instituted between the applicant and the buyer.

Buyers must be registered in countries with non-marketable or temporarily non-marketable risks.

The buyer cannot be registered in any of the target territories (Lithuanian language version), except for those target territories which are attributed to the priority export market groups established by the Minister of Economy of the Republic of Lithuania.

The buyer must be active on the market for more than two years from the date of registration.

The buyer cannot have any debts overdue and payable to the exporter.

A fee payable for the export credit guarantee will depend on the risk profile of a foreign buyer, risk group of the country of destination, amount of the guarantee and the due date of deferred payments. This fee is calculated for each declared sale of export goods (with a deferred payment option) during the applicable term for invoicing.

The guarantee fee is calculated on the basis of the methodology for calculating the remuneration of export credit guarantees, approved by the Board of ILTE. You can find out the preliminary amount of the guarantee fee for non-marketable risk countries using this calculator>>.

Pricing for buyers in countries with temporarily non-marketable risks is based on the risk of the buyer’s risk category.

Before entering into a guarantee agreement, the applicant shall be required to pay an initial margin. This initial margin is non-refundable, except when this margin has not been paid for reasons other than the buyer’s fault. Afterwards a guarantee fee shall be calculated for every subsequent declared sale of export goods (with a deferred payment option) to the buyer made during the invoicing term. The guarantee fee calculated by ILTE shall be set off against the initial margin (balance thereof) paid by the exporter, and/or paid to ILTE as provided for in the export guarantee agreement.

Regulations on the provision of export credit guarantees (Lithuanian language)