EKN has been commissioned by the government to promote Swedish exports and the internationalisation of Swedish companies. We do so by insuring export companies and banks against the risk of non-payment in export transactions, thereby enabling them to conduct more secure export transactions. Our activities are financed by the guarantee holders’ premiums.
We make difficult markets accessible and export transactions possible. Our activities encompass export transactions in 140 different countries, and the companies we help range from small companies to large groups. EKN has existed since 1933, and has a broad network which includes banks, EKN’s counterparts in other countries and other export-promoting organisations.
Business relationships with companies and banks; The nature of our commission means we are both a business partner and a government authority. EKN’s decision to provide a guarantee is based on our businesslike assessment of the risk.
EKN’s commitments are also the Swedish state’s; The premium paid by guarantee holders reflects the risk in the transaction and represents EKN’s provision for loss. In the course of our business we have established a strong financial position, which means we are able to honour our commitments and expand our activities using our own resources. There have been periods in EKN’s history when our reserves did not cover the costs of loss. In these situations, EKN has an unlimited borrowing facility with the Swedish National Debt Office. In the mid-1980s, for example, EKN borrowed an amount from the National Debt Office, subsequently repaying the loan with interest when our reserves had built up again.